Satyam demands apology from World Bank

26 December 2008

Satyam Computer Services has vigorously objected to certain statements made by World Bank representatives as being "inappropriate" and formally requested the bank for their immediate withdrawal. (See: Satyam barred from World Bank work for 8 years )

The IT major has asked the bank to issue a new statement and an apology. It has also demanded a full explanation of the circumstances related to the bank's "inappropriate statements".

Satyam further advised the bank that it would evaluate all possible options in view of both the Bank's public statements and its response to Satyam's requests.

However, so far the bank has been silent on the issue.

On 23 December It issued a clarification saying that it had confirmed that it declared Satyam ineligible to receive direct contracts from the World Bank under its corporate procurement programme for eight years.

Satyam was declared ineligible for contracts for providing improper benefits to bank staff and for failing to maintain documentation to support fees charged for its subcontractors.