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| No bail for Raju and aides yet |
| BS Reporter / Hyderabad Apr 22, 2009, 18:38 IST |
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The bail arguments of Satyam founder B Ramalinga Raju, his brother B Ramaraju and former chief financial officer Srinivas Vadlamani remained inconclusive for the second day. The matter has been posted for April 25.
The CBI prosecutor said that the investigation conducted so far gave evidence of benami share transactions by Ramalinga Raju in the names of the trusted employees of Satyam Computer Services Limited and the front companies and also in the names of some of the relatives. He said bail should not be granted as more witnesses were to be examined.
With regard to diversion of funds, it was revealed that Satyam Computers had invested Rs 175 crore to acquire preferential shares of Nipuna Services (Satyam BPO) from Olypus and Intel companies. It received Rs 1,425 crore from the front companies.
Ramalinga Raju sought release from the jail on the ground that he was to attend to the activities of EMRI and Byrraju Foundation. The CBI public prosecutor objected to this saying that there were separate officials for managing the activities of both EMRI and Byrraju Foundation and his presence was not needed. CBI was also not concerned about the legal actions initiated by other agencies, he said adding that the CBI had already filed an application for permission to conduct further investigation as
new facts came to light that would reinforce the culpability of the Raju brothers and others.
The CBI counsel argued that Rama Raju, in conspiracy with Ramalinga Raju, had dishonestly and fradulently caused unauthorised transfer of Rs 194.6 crore to the companies floated by him and his family members from the accounts of Satyam Computer without being authorised by the board of directors. Rama Raju was responsible for converting the proceeds of the money acquired from such deals into assets through 327 companies floated through his family members and some employees. He signed the letters addressed to the banks for renewal of fixed deposits.
The defence counsel argued that most of the charges levelled against Raju brothers were bailable offences.
Also, the court posted the plea of the CBI for polygraph test (lie detection) for April 25.
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