PwC faces axe from major clients after Satyam fiasco

Audit firm Price waterhouse (PwC), which has major companies like HCL Infosystems, GMR Group, Bosch, and Maruti Suzuki among its over 100 clients in India, faces a possible axe after its role has come into question in the Satyam fraud case, of about Rs 7,800 crore.

"Even if there is no connivance, there is certainly negligence on the part of PwC and we have internally decided to terminate their services," said an official of a company with over a Rs 10,000 crore turnover audited by PwC, requesting anonymity.

Bosch Managing Director V K Viswanathan told PTI that the company has not taken a decision on the issue.

"We don't know the entire story. So far we have heard only from Ramalinga Raju, but haven't heard anything from PwC," Viswanathan said.

When contacted, Maruti Suzuki India Chairman R C Bhargava said: "It is for the audit committee of the board to look into the matter. Once it submits its report, appropriate action will follow."

The companies audited by PwC are of the opinion that it is too early to cast suspicion on all the clients of the audit firm.

"It is too early to comment. The Satyam episode has been as a shock to everyone and the issue has not yet been settled; so we can't give any official comment at this point of time," an official of Religare Enterprises, which is also audited by PWC, said.