New Delhi: The trouble just doesn't seem to finish for beleaguered IT giant, Satyam. Securities and Exchange Board of India (SEBI) is now probing possible insider trading by Satyam's new CEO, A S Murthy sources tell Network 18.
Murthy, a Satyam loyalist, was appointed CEO two days ago. Murthy, who has been with the company for 15 years, was handling Satyam's global business division.
Sources say SEBI has sought information from Satyam's top management, including Murthy, on share transactions. SEBI is probing whether they knew of the Rs 7,800 crore the scam.
The SEBI probe is despite the clean chit given to Murthy by Corporate Affairs Minister P C Gupta on Friday.
"This is an on going practice among the companies and among the employees. Employees do sell their shares if they need funds for their personal requirement. Let us not make it an issue and let us not distrub the gentleman. Let him work. He is a very capable person," Gupta had said.
Sources also say the SEBI team has also found evidence of market manipulation by former Satyam chairman B Ramalinga Raju.
Satyam, a provider of software and back-office outsourcing services, has been battling for survival since Ramalinga Raju resigned as chairman on January 7, revealing profits had been overstated for years and that $1 billion of cash and bank balances on the company's books did not exist.
The board has been working to revive the confidence of its more than 600 clients and about 50,000 staff.
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