India’s Supreme Court today canceled the bail of Ramalinga Raju, the former chairman of Satyam Computer Services Ltd., and five other company executives in connection with the nation’s biggest corporate fraud enquiry.
The two-judge bench headed by Justice Dalveer Bhandari asked Raju, his brother Rama Raju, the company’s ex-finance chief Srinivas Vadlamani and two others to surrender before police by Nov. 8, and ordered that the trial be completed by July 31.
Raju disclosed in January last year he overstated the software developer’s assets by $1 billion, triggering a stock slump and a government takeover that led to the company’s sale to Tech Mahindra Ltd. A court in Hyderabad in southern India where Satyam is based had granted him bail in August.
India’s Central Bureau of Investigation, which charged Raju and eight others for faking invoices and falsifying accounts, in January filed fresh charges against him and five others. The CBI challenged the order of the Andhra Pradesh High Court that had granted the bail, saying the bail would deter witnesses from deposing against Raju.
“They will remain in jail until,” the trial is over, Raju’s lawyer Mukul Rohatgi said by phone today.