International Law

Satyam auditors arrested and PWC denies wrong doing.

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This just in from the department of highly unusual news.  PWC, the auditor of Satyam, who allowed the company to mislay over a $1 Billion in cash is:

"under intense pressure since Mr Raju admitted in a statement to the Bombay Stock Exchange earlier this month that the company's accounts had been inflated over several years.

It is under investigation by India's accounting board.

Mr Taluri is believed to have signed off on Price Waterhouse's most recent Satyam audit report, but following Mr Raju's confession, Price Waterhouse admitted the audit was no longer reliable.

The latest arrests follow a raid on the auditing firm's Hyderabad offices by Criminal Investigation Department officers who seized documents and electronic files related to Satyam's books.

A Price Waterhouse spokesman called the arrests "unfortunate" and said it had seen no "evidence of any wrongdoing" by the men."

Under intense pressure, just because a billion or so in cash isn't there?  What would be a full scale crisis, then?

Full post as published by Misleading Advertising Law on January 26, 2009 (boomark / email).