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Rediff.com  » Business » 'PSU bids waiver to Satyam? Panel's nod needed'

'PSU bids waiver to Satyam? Panel's nod needed'

May 26, 2009 17:42 IST

Giving exemption to Satyam Computer Services to make bids for business from the PSUs without readying its accounts may require permission from the Central Vigilance Commission and comptroller and auditor general of India, chief of PSUs' body SCOPE has said.

"The guidelines which PSUs have to follow are (under) the purview of the CVC, CAG on how tenders are to be awarded and how we have to scrutinise the offer. Probably, we have to make a reference to the Central Vigilance Commission whether they will allow such a thing," Standing Conference of Public Enterprises chairman Arup Roy Choudhury said.

He said individual public sector firms would also have to consult their administrative ministries.

While granting a waiver to the beleaguered IT firm is possible, it is not going to be so easy, he said.

"It is a little difficult, some approval, some procedural clearances are required," Choudhury told PTI.

Earlier this month, the corporate affairs ministry had written to various ministries including telecom, railways and steel seeking directions for public sector units under their administrative control for exempting Satyam from submitting audited balance sheets while bidding for projects of the state-owned firms.

Satyam Computer Services, since been taken over by Tech Mahindra, has not been able to finalise its accounts as massive accounting frauds were admitted by its founder chairman B Ramalinga Raju in January.

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