The Hindu Business Line : Independent Directors ‘stunned’

Visakhapatnam/Hyderabad Jan. 7 The dramatic exit of Mr B. Ramalinga Raju, Chairman of Satyam Computer Services, has come as a shock to Mr T.R. Prasad, an Independent Director on the board of the company.

Mr Prasad, a former Union Cabinet Secretary, had stood solidly behind the Satyam management, even as it faced the mass exodus of its Independent Directors, following the failed Satyam-Maytas deal, he had said “I don’t want to desert a sinking ship”

When contacted by Business Line today, an upset Mr Prasad said the unfolding developments were shocking and “I cannot make a comment at this juncture. Let the situation unfold and we will know more about it.”

In reply to a question whether the board meeting scheduled for January 10 would be held according to the schedule, he said a committee had been appointed to go into all those issues and decisions would be taken at the appropriate time.

“At this juncture, that is all I can say,” he added.

Interestingly, in his letter quitting as Chairman to the Stock Exchange, Mr Ramalinga Raju stated that Mr T.R. Prasad is well placed to mobilise support from the Government at this crucial time.

Prof. Mendu Rammohan Rao, Dean, Indian School of Business and the Independent Director who chaired the ontroversial board meeting on December 16, said “ It has been deeply disturbing for me to read the news reports this morning”.

“I am stunned by this revelation,” said Prof. Rao, who had initially explained that concerns were raised and discussions took place before the decision was taken on December 16.

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