Former chairman of Satyam Computers B. Ramalinga Raju, his brother Rama Raju and eight other accused in the Satyam Computers scandal have been awarded seven years rigorous imprisonment and imposed varying amounts of fine by a Special Court in Hyderabad today. All the 10 accused in the multi-crore Satyam Computers account fraud, were found guilty by the judge B. Chakravarthy.
The heaviest penalties of Rs. 5.5 crores each have been levied on Ramalinga Raju and his brother Rama Raju, former managing director,. The eight other accused were asked to pay a penalty of Rs.50 lakh each. The Raju brothers faced charges under Section 409 of IPC (criminal breach of trust by merchant and agent), a provision which attracted the maximum punishment.
In addition, Ramalinga Raju faced charges under Sections 120-B read with 420 IPC. He was also convicted under Sections 409, 467, 468, 471, 477-A and 201 of IPC. The sentence under the various charges will run concurrently.
He has already served jail sentence in the case from January 10, 2009 to August 19, 2010. On his appeal, he was freed on bail by the High Court in Hyderabad in August 2010. But the bail was set aside later by the Supreme Court, and he was again lodged in jail from November 10, 2010 to November 5, 2011.
Along with Mr. Ramalinga Raju, nine others – B. Rama Raju, Srinivas Vadlamani (former Chief Financial officer), S. Gopalakrishnan and Taluri Srinivas (partners Price Waterhouse), B. Suryanarayana Raju, Prabhakar Gupta (internal auditor), G. Ramakrishna (Head, Finance), D. Laxmipathy and Venkatpathi Raju were found guilty in the scam under sections 120 B read with Section 420.