Opinion - Letters to the Editor   

On accounting

I wonder what the implication will be for the auditors who have certified Satyam's accounts all these years. What is the extent of their responsibility?

Narasimha Rao Jakkamsetty,

Samalkot

Creative accounting ultimately devours the firms that indulge in ballooning balance sheets and performance levels to clinch new business, and inflate their tangible net worth. It dresses up cosmetically a deepening wound which eats away the vitals over the years. In the process, many small investors lose their money and become paupers overnight.

N. Rangarajan,

Tiruchi

The Satyam fiasco has exposed the weaknesses in India's over-regulated and under-enforced business environment. Corporate India should voluntarily lend itself to scrutiny, continuing to render India as a destination worthy of conducting business in a fair and transparent manner.

Rajaram Santhanam,

Mumbai

This rot is not confined to Satyam. The government and SEBI have not done enough to ensure honesty and transparency. I am sure there are many so-called blue-chip companies, which manipulate the account books.

Atul Gupta,

New Delhi

How can a company fool its investors, employees and the outside world with figures plucked from the sky? How can an auditor sign a balance sheet that has inflated its cash and bank balance figures without adequately confirming them? Mr. Raju has said in his letter that he felt as if he was riding a tiger, not knowing how to get off without being eaten. Mr. Raju, the tiger you rode did not eat only you and Satyam but also India's image, investor confidence and, above all, the faith of the 53,000 employees who toiled with you to make the company a well-known name.

N. Manoharan,

Coimbatore

The financial fraud of Satyam's magnitude could not have taken place without the active involvement of other board members. Hence the entire board should be made to face the trial. The role of the auditors should be scrutinised.

J.V.C. Sreeram,

Secunderabad

Printer friendly page  
Send this article to Friends by E-Mail

Stories in this Section

Test cricket’s changing balance
Kasab and Pakistan’s honour
Why the caste system is on its last legs
The ride to Kilinochchi and beyond
Guantanamo Bay: whose mess is it anyway? out of london
Gaza: medics find ‘unbelievable’ horror
Corrections and clarifications
Shocking disclosure
On accounting
Give him a chance

Copyright © 2009, The Hindu. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu