Satyam Computer Services founder B Ramalinga Raju and his brother Rama Raju were granted bail by the Metropolitan Sessions Court in Hyderabad for a personal bond amount of Rs 1 lakh each. The other eight accused were also granted bail for bonds of Rs 50,000 each. Raju and nine others had sought suspension of their sentences and fines imposed in the Rs 7,000-crore accounting fraud. All the accused will have to pay 10% of their fine amount within four weeks.
The other accused include his brother and Satyam’s former managing director B Rama Raju, former chief financial officer Vadlamani Srinivas, former PwC auditors Subramani Gopalakrishnan and T Srinivas, Raju’s another brother B Suryanarayana Raju, former employees G Ramakrishna, D Venkatpathi Raju and Ch Srisailam and Satyam’s former internal chief auditor VS Prabhakar Gupta.
Raju and others, who are currently lodged in Cherlapally Central Prison, had filed the appeals and applications in the Sessions Court court challenging their conviction, besides sentences and fines imposed by the Additional Chief Metropolitan Magistrate Court (ACMM) in the over Rs 7,000-crore accounting fraud. Earlier, the Hyderabad High Court had on April 30 declined to admit appeals filed by Raju and others against their conviction, observing it was not maintainable before it and asked them to move sessions court.
On April 9, the ACMM court, which tried the Satyam corporate fraud case probed by CBI, sentenced Raju and others to seven years’ rigorous imprisonment for criminal conspiracy and cheating, among other offenses. It had also imposed a Rs 5-crore fine on Raju and his brother Rama Raju while others were fined Rs 25 lakh each. The Metropolitan court had sentenced all the 10 accused to seven years in jail under different sections of Indian Penal Code from cheating to criminal breach of trust, fudging and destruction of evidence.
However, the counsel of Raju and others submitted before the court that their clients had already served a “substantial part” of their imprisonment by spending 35 months in jail and requested it for suspension of their sentences. While expressing their inability to pay the penalty, they further contended that the fines imposed on them were also “exorbitant” and now they have no source of income.