1. Satyam has been rightly named as Jhoota contrary to its original name Satyam implying the Truthful entity. Our reader Bhupendra has also correctly expanded the abbreviation of Satyam as SATYAM= STEALING AND TRANSFERING YOUR ALL MONEY. Thus one can see the level of disgruntlement which has set in the Indian investors and thus the repercussions are not far from the overseas readers.
Impact Satyam Fraud
2. Satyam stock is being removed from its S&P CNX Nifty 50-share index from Jan 12. Satyam will also be excluded from the CNX 100 index, CNX 500 index and the CNX IT index. Reliance Capital Ltd will replace Satyam in the main index. Satyam has lost more than 10000 Crore rupee in a single day trading. $8 Crore changed hands at BSE and 33 Crore changed hands at NSE.
3. Satyam’s American Depository Receipts, listed on the New York Stock Exchange, had closed up four per cent at 9.35 dollar day before yesterday, and are expected to witness a sharp plunge when the American markets open. However the tradin in said stock has been suspended as per the latest reports.
4. Satyam’s largest shareholder, Aberdeen AMC, dumped the tainted software entity’s shares on Wednesday, was also a seller in other index stocks like Reliance Communications and JP Associates. Thus the moral of the story is that FIIs will be difficult to convince and it will take time before FIIs line up in India and India loss will be the gain of China. One can read the complete Satyam Fraud letter written by Ramalinga Raju to understand the impact of his activities in Indian share market.
5. The following Fund Houses sold shares yesterday in the open market :
(a) Swiss Finance Corp Mauritius Ltd: Sold 7786759 shares at Rs.74.61
(b) Aberdeen International India Opportunities Mauritius Ltd:Sold 9830811 shares of the company at Rs.43.41
(c) Aberdeen Asset Managers Ltd Aberdeen Global Asia Pacific fund: Sold 4179064 shares at Rs.43.41
Impact of Satyam Fraud on Indian Stock Market
