PWC sets up advisory board after Satyam fraud

PWC sets up advisory board after Satyam fraud

Mumbai: Price Waterhouse, which for several years inspected the books of fraud-hit Satyam Computers Services Ltd, Thursday announced it will set up an independent advisory board to guide local executives and named Sharmila Karve as the top auditor in the country.

Karve takes over from Thomas Mathew, who resigned from his role as the assurance leader in January after the Satyam swindle. Karve has appointed a new management team, Price Waterhouse said.

Four members at the advisory board will be “outside the PWC network and will be leading individuals of repute and standing in India", said Jairaj Purandare, executive director of PricewaterhouseCoopers Llp’s India operations.

Price Waterhouse’s Hyderabad office will have a new management. Two auditors of Price Waterhouse, S. Gopala-krishnan and Srinivas Talluri, have been arrested in connection with India’s largest corporate fraud.

Satyam’s founder B. Ramalinga Raju was arrested on 9 January, two days after he confessed to cooking his firm’s accounts for several years.

Price Waterhouse’s move comes almost two months after the swindle at the Hyderabad-based software company came to light. “We didn’t want to react in a knee-jerk manner," said Purandare. “We’ve been carefully executing these changes."

Saikat Chatterjee of Bloomberg contributed to this story.