Saturday, 10 January 2009

A beleaguered Satyam Computer Services today suffered blow with three top independent directors quitting.

Mr Vinod K. Dham, Dr Krishna G. Palepu and Prof. Mendu Rammohan Rao resigned, under pressure from several quarters on corporate governance issues.

The resignations come on the heels of Dr Mangalam Srinivasan, the longest serving Independent Director quitting, owning moral responsibility for not casting a dissent vote against the $1.6-billion deal to buy Maytas firms.

Mr Vinod Dham, the father of Pentium chip, who had called for a special board meeting, had said that he would work with the management to enhance shareholder value. While Dr Palepu is a Harvard Business strategy Professor, Dr Rammohan Rao is the Dean of Indian School of Business.

Effectively, the nine-member Board is now reduced to five members – three whole-time directors (Mr B. Ramalinga Raju, Chairman; Mr B. Rama Raju, Managing Director; and Mr Ram Mynampati, President); and two independent directors (Mr V.S. Raju, former IIT Director, and Mr T.R. Prasad, former Union Cabinet Secretary).

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