Citibank forms team to retrieve Satyam account details

Citibank has formed a special team to retrieve the account details of Satyam Computer Services Ltd from 2001, according to Srinivas from the corporate banking division of Citibank.

Deposing before the special court today, he said Satyam had taken multiple loans from Citibank during this period. It had also taken loans from Citicorp Finance (I) Ltd, a non banking financial company of the bank.

Srinivas has been authorised to deal on behalf of Citibank and Citicorp with matters relating to the investigation by the Central Bureau of Investigation (CBI).

He said the then managing director B Rama Raju had authorised one P Chandrasekhar to execute deeds of assignments of recoverable (due to Satyam) during the loan period. These would be credited to the company's account to be used for loan repayment.

The loan raising and other activities were backed by Satyam board resolutions. The board also authorised the intermediaries between the company and the bank for selling or assigning the receivables from Satyam.

The defence counsel said there was nothing unusual with the company taking loan. He said the loans were disbursed after meeting the bank's lending criteria.

J Makbul, senior manager-operations of Allahabad Bank local branch, too, listed out the various transactions.

CBI said all transactions needed to be recorded to put things in perspective.