The Reserve Bank of India has said it is collecting information from all the banks about their dealings with the scam-tainted Satyam Computer Services and its group companies.
The apex bank's spokesperson confirmed that the central bank has asked all the banks to submit details of their exposure to Satyam and its group companies.
Chairman of the country's largest lender SBI O P Bhatt said that the bank does not have any exposure in the crisis-ridden Satyam Computer, but it had given Rs 500 crore (Rs 5 billion) to Maytas Infra and Maytas Properties, the companies promoted by the kin of disgraced chairman of IT major B Ramalinga Raju.
He said: "There is no exposure of the bank in Satyam . . . no personal loans given to Raju and his sons."
While, the chairman of another major public sector lender Bank of Baroda, M D Mallya had said that bank has "insignificant" exposure to Saytam.
In order to prevent Satyam-like frauds, the chief finance officer (CFO) of Infosys Technologies, CFO V Balakrishnan today opined that it should be mandatory for the companies to disclose their funds in banks so that investors could verify the accounts themselves.
The newly-appointed board of Satyam in its first meeting yesterday decided to appoint an auditor to vet the books of accounts of the crisis-ridden company.
Meanwhile, the Crime Investigation Department of Andhra Pradesh, which is probing into Satyam fraud case, has said the banks associated with the disgraced firm have declined to comment on whether the IT major's accounts had been frozen, citing client confidentiality.
"Bankers of the scam-tainted company declined to comment on the IT major's accounts been frozen citing client confidentiality." CID said in its case sheet filed in the local court.
Text: PTI
Image: Guards in front of the RBI building in Mumbai
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