This Article is From Apr 09, 2009

Satyam board meets today; to discuss funds

New Delhi: Action and not just assurances - that is what investors, clients and employees of Satyam would be hoping for as the expanded board of directors meets on Saturday in Hyderabad.

However, steering the scam-tainted company out of the woods is not going to be an easy task. One of the biggest challenges facing the board is arranging the desperately needed funds for the company to run and pay the salaries of employees.

What would also be on the minds of the directors are reports of clients and employees looking for alternative opportunities.

When the new three-member board of Satyam met earlier this week, it was time for taking stock and understanding the company. Now, the expanded board has their task cut out to set the ball rolling.

As the board gets down to business, they are expected to discuss in detail the funding requirements for the company. Salaries for the employees of Satyam are also going to be high on the agenda for the board.

The board is also expected to speak to business heads on employee issue, who in turn may speak to their respective team members. Worried clients looking for alternatives will also be a concern that the board is expected to deliberate.

Satyam has receivables of over Rs 1700 crore and the top management is working to make sure that some of it can be shown in their books so that the pressure on liquidity eases.

After the first board meeting, Deepak Parekh had said that they did not have enough time to discuss every issue in detail. Now with more members and having had more time, they will find time to handle the issues in detail. Investors and employees will look forward to more than just reassurance and concrete action from the high profile board members.
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