The Economic Times: "Arthos helps its customers set realistic retirement goals" --> FREE Limited time offer:
News »Browse Articles »
`New Companies Act will prevent more Satyams`
+1
`New Companies Act will prevent more Satyams`
Corporate Affairs Minister P.C. Gupta Wednesday said once the revised Companies Act becomes law, it would provide more teeth to investigating agencies that probe corporate fraud.
Replying to a debate in the Lok Sabha on the Satyam scam, the minister said the new Act provided for strengthening investigating agencies like the Special Fraud Investigation Organisation (SFIO), setting up of special courts to ensure speedier trials, and adoption of new accounting standards to prevent collusion between auditors and clients.
"The revision of Companies Act 1956 bill has been placed in the house and is pending with the standing committee," said Gupta.
The opposition was up in arms, saying the lack of regulation was the reason the $1.43-billion Satyam accounting scam occurred, and the manner in which Satyam`s present chief executive A.S. Murty sold equity in the company days before the fraud was admitted by company founder B. Ramalinga Raju.
Gupta sought to assuage frayed tempers, saying: "Action taken by government has been appreciated by everybody, everywhere including publications like Financial Times in London."
Replying to a debate in the Lok Sabha on the Satyam scam, the minister said the new Act provided for strengthening investigating agencies like the Special Fraud Investigation Organisation (SFIO), setting up of special courts to ensure speedier trials, and adoption of new accounting standards to prevent collusion between auditors and clients.
"The revision of Companies Act 1956 bill has been placed in the house and is pending with the standing committee," said Gupta.
The opposition was up in arms, saying the lack of regulation was the reason the $1.43-billion Satyam accounting scam occurred, and the manner in which Satyam`s present chief executive A.S. Murty sold equity in the company days before the fraud was admitted by company founder B. Ramalinga Raju.
Gupta sought to assuage frayed tempers, saying: "Action taken by government has been appreciated by everybody, everywhere including publications like Financial Times in London."
