Fraud-hit IT major Satyam Computer Services has informed the government that it will need Rs 150 crore to meet the health care insurance liabilities of US employees, reports PTI (via Economic Times). The government has been informed of this by Satyam's senior executive Ram Mynampati, who is currently traveling to US to reassure clients, the report quotes Economic Affairs Secretary Ashok Chawla as saying. Chawla has further added that the government is not looking at any bailout for Satyam as yet.
Last week, the founder chairman of Satyam, Ramalinga Raju, disclosed financial fraud of more than Rs 7,000 crore in the IT firm. The confidence of clients and employees has been down ever since, and the company is now trying to restore confidence.
After the disclosure the government had disbanded the remaining board of the company and appointed a new board comprising of Deepak Parekh, Kiran Karnik and C Achuthan. The board will be looking to finance the immediate funding requirements of the company. The new board is also looking for a new CEO and a new CFO. It recently appointed KPMG and Deloitte Haskins as the auditors.