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Disgraced Satyam founder out on bail

Ramalinga Raju granted bail on the condition that he remain in Hyderabad and provide sureties of Rs. 40 lakhs

Disgraced Satyam founder out on bail
Ramalinga Raju has to remain in Hyderabad, bail conditions stipulate.

Satyam Computer's founder B. Ramalinga Raju has secured bail from the Andhra Pradesh High Court, the Press Trust of India news agency revealed.

Raju, who is currently undergoing treatment in a city hospital, was granted bail on the condition he stay in Hyderabad and on provision of two sureties of Rs. 20 lakhs each (about $43,000).

Raju's letter of confession on January 7th 2009, shone a spotlight on the biggest corporate fraud in Indian history.

Raju and his brother B Rama Raju, managing director of Satyam, were charged with criminal conspiracy, forgery, criminal breach of trust, cheating, and falsification of records, and face jail terms of up to ten years and fines of up to 250m rupees ($5.2 million).

Justice Raja Elango granted the bail to the former chairman of Satyam Computer, which has since been taken over by Mahindra group and renamed Mahindra Satyam, even as India's Central Bureau of Investigation voiced concern that he could influence as many as 250 witnesses if let out.

Ramalinga Raju was the last of the ten accused in the Rs 14,000 crore accounting fraud case to be granted bail.

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