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Nasscom not to ban Satyam membership

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Press Trust of India New Delhi
Last Updated : Jan 20 2013 | 7:17 PM IST

IT industry body Nasscom today said it has no plans to disqualify Satyam Computer as a member following the accounting-fraud disclosure made by the software major's Chairman Ramalinga Raju.

"We are not looking at banning Satyam of its membership right now," Nasscom President Som Mittal told PTI.

Right now, the priority for the industry body would be to restore investor, analyst and employee confidence on the Indian IT sector, he added.

Nasscom would also work with the Satyam Task Force to reach out to their customers and employees and guide them through the transition.

Nasscom will extend all kind of help to employees of Satyam, he added.

Satyam, currently, employs over 50,000 people.

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Incidentally, Raju was once the chairman of the apex body of the IT-BPO industry in India.

"This is a standalone case of corporate governance failure of such magnitude. There is no prior instance of any other member company getting into such situation so we are not sure what action we can take as an industry body," Nasscom Chairman Ganesh Natarajan said.

Natarajan further said, "We believe the entire IT sector will not be impacted much as we consider this as a specific case of a particular firm."

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