Govt waiting for ICAI report 7 months after Satyam fraud

Govt waiting for ICAI report 7 months after Satyam fraud
PTI
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First Published: Sun, Sep 06 2009. 11 48 AM IST
Updated: Sun, Sep 06 2009. 11 48 AM IST
New Delhi: Corporate affairs minister Salman Khurshid has said he would exert pressure on ICAI for a final report on the multi-crore Satyam fraud, although the accounting regulator said it has submitted one in July.
“I don’t know why it (ICAI report) is not coming. I am not able to understand what the delay is about... I will ask him (ministry’s secretary) to put pressure,” he told PTI when asked by when he expected the report on the Satyam fraud from the Institute of Chartered Accountants of India (ICAI).
The fraud was disclosed by Satyam founder Ramalinga Raju himself in January and ICAI began looking into it that month.
“I think they (ICAI) are a bit slow on that...now that we have finished everything else, this will be our first priority,” the minister said.
The Institute, when contacted, said it has submitted an interim report on the fraud to the government and is working on a second report.
The findings of the first report are not known.
Stressing that Satyam report was a priority for the ICAI, its president Uttam Agarwal had told reporters in Hyderabad last month, “It (probe) will be completed before February next year, when my term as President ends.”
Following the disclosure of the accounting fraud in January by the disgraced founder of Satyam Computer Services B Ramalinga Raju, the ICAI had appointed a high-powered committee to look into the role of chartered accountants in the fraud and also initiate disciplinary proceedings against them.
The six-member committee is headed by Agarwal and ICAI council members — S L Dogra, Amarjeet Chopra, Subodh Aggarwal and Akshay Gupta — alongwith government nominee K R Maheshwari, a banker and chartered accountant.
Agarwal also said S Gopalakrishnan, one of the partners and auditors of Price Waterhouse, who signed the financial statement of Satyam, has been stripped off all non-standing committee posts.
Gopalakrishnan would, however, continue as the ICAI council member, he said.
Further, the disciplinary committee of the ICAI had also issued a showcause notice to the Price Waterhouse auditors — S Talluri and Gopalakrishnan in January this year.
The time given to them was extended thrice and the last date given to them was 30 June.
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First Published: Sun, Sep 06 2009. 11 48 AM IST