CID probe into Satyam a `cover-up', says Naidu

09 February 2009

Opposition Telugu Desam Party leader in the Andhra Pradesh assembly N Chandrababu Naidu today alleged that the hastily ordered CID probe into the Satyam scam was only to save the company's promoter B Ramalinga Raju even as the Securities and Exchange Board of India sought court permission to question more scam accused.

He also said the ''Congress high command also blocked the CBI investigation into the Satyam scandal only to suppress facts and protect the guilty."

In fact, Naidu said, the Congress regime in Andhra Pradesh had ''lured'' Ramalinga Raju by offering huge tracts of land, which resulted in Satyam's downfall.

CID is ill-equipped to probe violations of all major laws and regulations, including SEBI, FERA, FEMA, RBI and IT by a company whose operations were spread over 66 countries, Naidu pointed out.

A national agency like the CBI could have co-ordinated with the Interpol to probe deeper into the scandal, he said, adding that it was a clear attempt by the state government to ''shield'' the fraudsters through the CID probe.

A local court in Hyderabad, meanwhile, admitted the SEBI petition seeking permission to interrogate and record the statements of Satyam Computer's former CFO Vadlamani Srinivas and PwC ex-executives S Gopalakrishnan and Talluri Srinivas- the three allegedly involved in the Rs7,800 crore Satyam fraud case.