Satyam tanks 13 pc as CBI doubles scam loss

Shares of Satyam (SATYAM.BO : 97.75 +0.05) Computer (now Mahindra Satyam) on Wednesday plunged over 13 per cent on the Bombay Stock Exchange (^BSESN : 17519.26 +29.18) after the CBI said that the loss suffered by investors in the Satyam scam may stretch to a staggering Rs 14,000 crore, nearly double of what it was estimated to be earlier.

After a weak opening on the bourses, Satyam counter to a low of Rs 88.15, down 13.28 per cent over the previous close on the BSE.

The CBI on Tuesday filed the second chargesheet in the multi-crore Satyam scam against its founder chairman B Ramalinga Raju and others, including recently arrested internal auditor VS Prabhakar Gupta.

Marketmen said investors dumped the stock amid concerns of further downside after the CBI chargesheet as the amount of fraud estimated by the CBI is way higher than the initial estimates of Rs 7,800 crore.

On the National Stock Exchange (^NSEI : 5245.9 +14) the counter witnessed a similar downtrend and plunged 13.29 per cent to a low of Rs 88.10 during the afternoon trade.

Over 10.20 crore shares changed hands on both the bourses.

As per the chargesheet the accused have created fake customers and generated fake invoices to inflate revenue to the tune of Rs 430 crore.

In January Raju admitted of cooking up the financial books of Satyam to the extent of Rs 7,800 crore following which the scrip plunged as much 78 per cent on a single day.