Ethics in Satyam
Date: 13/12/11
11
ASSIGMENT ON ETHICAL PRACTICES
Submitted to: Mr. Nirmalya B. Biswas
Submitted by: Ashish S. Thomas
EXECUTIVE SUMMARY:
PwC is the second largest professional services firm in the world (after Deloitte) and one of the 'Big Four' accountancy firms. About 50 % of PwC’s revenue comes from auditing. PwC had audited about 139 companies in India in the year 2008. Of this, 97 are listed and 45 were part of BSE 500 Index Including Satyam. Whenever we talk about Unethical governance in accounting practices the 1st and foremost name which comes in to our mind is of Price Water house Coopers, PwC has followed unethical governance with many of its clients. But, It came into limelight is Indian scenario in a broader aspect due to the fraudulent activity done by Satyam (Ramalinga Raju) with the accounting books. After the Satyam scandal PwC Realized the Importance of ethical Corporate Governance. PwC was a Statutory Auditor for Satyam from past many years it iv very clear from various reports that there was indeed hand in gloves of PwC directly or indirectly with Ramalinga Raju(Chairman, Satyam Computers). What lead to Satyam fraud? Statutory Auditor is often considered one of the "four pillars" of corporate governance. And the unethical practices in PwC Intl is clearly visible in various accounting Scams around the world. What really happened? Why it happened? And how this Unethical governance practices can be stopped? These are the various questions which are needed to be addressed. After Satyam Scandal the management of PwC realized that these unethical practices are hampering their brand image and they might lose their market/clients. It started following various strategies to rebuild the brand. But it’s very clear from the case of PwC that “The Means Should Justify the End.”
CONTENT Sr. No. | TOPIC | PAGE No. | 1 | Executive Summary | | 2 | Content | | 3 | Company Overview | | 4 | SATYAM Scandal | | 5 | Conclusion | | 6 |
11
ASSIGMENT ON ETHICAL PRACTICES
Submitted to: Mr. Nirmalya B. Biswas
Submitted by: Ashish S. Thomas
EXECUTIVE SUMMARY:
PwC is the second largest professional services firm in the world (after Deloitte) and one of the 'Big Four' accountancy firms. About 50 % of PwC’s revenue comes from auditing. PwC had audited about 139 companies in India in the year 2008. Of this, 97 are listed and 45 were part of BSE 500 Index Including Satyam. Whenever we talk about Unethical governance in accounting practices the 1st and foremost name which comes in to our mind is of Price Water house Coopers, PwC has followed unethical governance with many of its clients. But, It came into limelight is Indian scenario in a broader aspect due to the fraudulent activity done by Satyam (Ramalinga Raju) with the accounting books. After the Satyam scandal PwC Realized the Importance of ethical Corporate Governance. PwC was a Statutory Auditor for Satyam from past many years it iv very clear from various reports that there was indeed hand in gloves of PwC directly or indirectly with Ramalinga Raju(Chairman, Satyam Computers). What lead to Satyam fraud? Statutory Auditor is often considered one of the "four pillars" of corporate governance. And the unethical practices in PwC Intl is clearly visible in various accounting Scams around the world. What really happened? Why it happened? And how this Unethical governance practices can be stopped? These are the various questions which are needed to be addressed. After Satyam Scandal the management of PwC realized that these unethical practices are hampering their brand image and they might lose their market/clients. It started following various strategies to rebuild the brand. But it’s very clear from the case of PwC that “The Means Should Justify the End.”
CONTENT Sr. No. | TOPIC | PAGE No. | 1 | Executive Summary | | 2 | Content | | 3 | Company Overview | | 4 | SATYAM Scandal | | 5 | Conclusion | | 6 |