Govt mulls bailout package for Satyam

The Satyam Computer scandal "would have adverse impact to the investments coming to Andhra Pradesh", said Chief Minister Y S Rajasekhara Reddy.

Speaking to reporters at the sidelines at the 7th edition of Pravasi Bhartiya Divas in Chennai today Reddy said that this has sent a shock waves among corporate circles. "Anything like this will have an adverse impact. Let us look into it and hope we can manage it. CB-CID will now look into the case of Ramalinga Raju, who is still in to the best of my knowledge. None of us expected this, it is as a shock to us."

He further added, Union government is working on a bailout package for Satyam, he declined to comment further on this.

Commenting on Maytas Infra, the construction company promoted by Raju's sons and in which the Rajus of Satyam Computer Services have a 36 per cent stake and bagged several government orders, including Hyderabad metro rail project, Machilipatnam port project and several airport projects in Andhra Pradesh, the Chief Minister said, "Chief Secretary is looking into their work. Maytas is one of the investors (in Metro Rail), so if the project is still viable, it can go ahead."