Good question - the answer depends on the objectives that our government has in mind for such a bailout.

(a) If they are considering this bailout to try and facilitate long term survival of Satyam as a company, then I think it's not worth taxpayers' money. Government has to realize that Satyam's survival is totally dependent on it's current customers. There is no way that any new customers will engage Satyam as a partner - even the current customers must be actively looking out for potential partners who can takeover Satyam's place in their organizations. Government of India cannot do anything to prevent exodus of customers of Satyam. Government should also realize that there are class action lawsuits against Satyam in the US and given that Raju has confessed everything, only a miracle can help Satyam in that class action case - which means that bailout money could potentially end up as penalty payments as a result of the class action.... in Services industry, there is no way a tainted company like Satyam can survive - so the bottomline is that I think our Government is wasting taxpayer's money if the intention is to facilitate long term survival of Satyam as a company.

(b) If they are considering this bailout because they want an orderly transfer of Satyam's business to the Infosys, TCS and Wipros of the world (or even IBM and Accenture) to protect the interests of customers of Satyam caught off guard in this mess, then it's definitely worth it. This will send the right message to the world about Indian Government and Industry's sincerity in ensuring that customer's interests are above everything else.

(c) If the intention is to give some short term relief to the innocent 53000 employees of Satyam while they figure out their next steps, then it's worth it. They didn't deserve this mess.

I am still not sure about our Government's intention and they should come out in the open and state clearly what are they trying to achieve with this bailout.

The salary of the employees need to be paid for this month. Else it is going to cause a major impact both in employee morale and also in the society (Banks, credits etc.,). However, that being said, the extend of money to be paid to the employees need to reviewed. The government extending a line or credit - or worse still - a bailout to a company whose mere existence two months down the line is a BIG question is not a smart move. The tax payers cannot foot the entire bill on this case.

I don't see any reason why the government should assist or bailout Satyam (Asatyam) computers through any financial aid, if it is to save the IT image of the country, there are a thousand more companies to take care of it, if it is trying to rescue the stock exchange I don't feel so as a stock exchange is gambling den nothing more, and we need not rescues gamblers, if it is trying to save the jobs of satyam employees there are millions of under previlaged who require the money to get at least a single full square meal per day through out the country.. why should the tax payers money be wasted on such nonsense

No. Already Satyam has lost its brand & hanging over the same name will dent India image. Any decision should support the business continuity of the existing client & by and large employees should not get affected.

The best way forward as the first priority is the current interim committee shall be entrusted to facilitate the transfer of Satyam client business to other software majors with key employees of the projects as a package deal.

Don't treat the dead body with the cost of 2000 crore using Taxpayer money & it will send a very wrong signal that Indian govt will never allow even failed company to fail.

This is the non-sense approach.

govt should not give a single penny..

Wastage of money... Satyam is not a company which should be saved..Govt is just distributing money for the rich and moreover even if you put in money no client will do business with Satyam...it has to close...no point in saving it.. Give it to poor instead...let them suffer for their deeds...

Dear Editor,


First of all In my opinion, i don't think this is a debatable topic because of :

1. From looking from a distance you can't feel the real pain, unless you are in our shoes. I am among the 53k people who are trying hard to restore the image of satyam. We are trying to correct the mistakes made by few people. Debating on this topic is like, someone performing autopsy on a sick person, who is trying hard to recovver.

2. Still if you want my opinion, i would say If we dont get our payments it will help us in fullfilling our basic need. We are not only the trying to overcome from the crisis but also trying to enhance the Global India image.

3. Sir, i dont know who all are part of this fraud, but to tell you the truth most of us are also taxpayers. we all know how many people in india are tax payers.

Thanks
Satyamite

Thanks

Its a big mistake. Its not govt duty to protect the shareholders nor does it require to save the company. The IT market is competitive enough to fill in the gap between supply and demand.
Let the market forces take its own course.Inefficient firms shall be replaced by more efficient ones.
During this whole episode one thing missing was: Did PWC auditors did not know about this? They sure hell do know about it. They have to be investigated as well.Its imperative for auditors to report any fraudulent or fictitious entry in books in its reports.
I think Rajdeep, the media should bring PWC too into the picture. Its imperative for setting an example to other auditing firms and also to restore confidence of the investors in the market.
Thats the only thing govt should do.