The Hindu : Front Page : Ramalinga Raju sent to judicial custody

Online edition of India's National Newspaper
Sunday, Jan 11, 2009
ePaper | Mobile/PDA Version

Front Page

Front Page

Ramalinga Raju sent to judicial custody

N. Rahul

Former Satyam chief and his brother lodged in jail; chief financial officer also arrested

— PHOTO: PTI

TOGETHER IN CRISIS: The former chairman of Satyam Computer Services, B. Ramalinga Raju (right), being shielded by his brother and former Managing Director, B. Rama Raju, as they arrive at the magistrate’s residence in Hyderabad on Saturday. They were arrested on Friday night.

HYDERABAD: The former chairman of Satyam Computer Services, B. Ramalinga Raju, and his brother and former Managing Director, Rama Raju, were remanded to judicial custody till January 23 in the Rs. 7,100-crore scam that rocked the company.

The Raju brothers were lodged in the Chanchalguda Central Jail here after investigators of the Criminal Investigation Department (CID) of the police produced them before the Sixth Additional Chief Metropolitan Magistrate, D. Ramakrishna. Since the court is on vacation for Sankranthi, the judge heard the case at his residence in the Judges Quarters at West Marredpally.

Counsel for the Rajus S. Bharat Kumar said he would move their bail application in the appropriate court on Monday. He said the judge ordered the jail doctor to monitor the health of Mr. Ramalinga Raju regularly as his blood pressure fluctuated abnormally. Despite his health condition, Mr. Ramalinga Raju did not seek the judge’s permission to be shifted to hospital, he added.

A doctor examined the former Satyam boss when he was in CID custody after he gave himself up at the office of the Director-General of Police (DGP) on Friday night. He was interrogated by the CID sleuths during the night and again on Saturday. As a large media contingent kept vigil outside the DGP’s office throughout the day, the detenus were taken to the judge’s residence in the evening.

Srinivas Vadlamani, who resigned as chief financial officer of Satyam, was also arrested in the evening and taken to the CID office, according to Inspector-General V.S.K. Kaumudi. He is being viewed by the investigators as a co-conspirator with Mr. Ramalinga Raju. Teams from the Securities and Exchange Board of India (SEBI) and the Serious Frauds Investigation Office (SFIO), which have been here for two days, could not examine the former Satyam chairman as the police asked them to take permission from the court.

No objection to CBI probe: Chief Minister

Andhra Pradesh Chief Minister Y.S. Rajasekhara Reddy explained to Prime Minister Manmohan Singh the developments in the wake of the arrest of Ramalinga Raju. During his brief telephonic conversation, the Chief Minister is reported to have said that the State government would have no objection if the case was handed over to the Central Bureau of Investigation and appealed to him to protect the jobs of 53,000 Satyam employees.

Related stories:

Ramalinga Raju surrenders to police

Centre disbands Satyam board

Satyam takeover not possible for now

Government seizes Satyam’s documents

SEBI begins probe into Satyam fraud

No arrest based on statement, say police

Satyam: have the funds been siphoned off?

Satyam chief admits to fraud, quits

Fraud investigation office to look into case

CID probe ordered into Satyam fraud

‘Satyam is India’s Enron’