‘Infosys not to approach Satyam clients on its own’

By IANS
Monday, January 12, 2009

BANGALORE - IT bellwether Infosys Technologies Ltd would not pro-actively approach clients of the fraud-hit Satyam Computer Services on its own but is open to consider proposals for deals on merits, a top company official said Tuesday.

‘We have decided not to pro-actively approach Satyam clients. But if they come on their own, we will look into their proposals case-by-case. If acceptable, we may consider doing business with them,’ Infosys chief executive and managing director S. Gopalakrishnan told reporters here.

Though some Satyam clients approached Infosys recently, the global software major did not discuss business with them.

‘Some Satyam clients also outsource their services to us. We do not have any joint project with Satyam. If some of them (clients) want us to be engaged, we will look into it but would not hurry in grabbing them,’ Gopalakrishnan clarified on the sidelines of a media briefing on the company’s robust financial performance in the third quarter of this fiscal.

Denying media reports that Infosys would poach Satyam clients as well as its employees, the chief executive said the priority of its stakeholders and the government was to bring the software major back on track to restore confidence of employees, customers and investors.

‘My personal view is that it is only fair that the government is looking into the Satyam crisis, as it is trying to protect about 50,000 employees. We welcome whatever is done to protect their jobs by the government,’ Gopalakrishnan observed.

Asked if he would favour the government bailing out Satyam with tax-payers’ money, the CEO said since the matter was between the government and the IT firm, he would not like to comment.

‘It is between the government and the company. If there is a requirement, it is up to the government to decide,’ he said.

Infosys board member T.V. Mohandas Pai said the company had consciously decided not to act on curriculum vitae (CVs) of Satyam employees as it was not right to poach or hire from a company in trouble and where thousands of careers were at stake.

‘Our decision is no reflection on the merit of employees. We respect them. They are people of integrity and have competencies. We will, however, consider on merit if someone wants to leave in pursuit of professional advancement,’ Pai asserted.

Welcoming the government move to put the company back on track, Pai said the intervention would restore the confidence of employees, win trust of customers and bring back faith of investors in the company.

‘Right now there is a crisis in that company (Satyam). In the short-term, the government-appointed directors will bring back comfort level and trust-building will take place.

Infosys chief mentor N.R. Narayana Murthy also said it was important that the industry acted in a responsible and credible manner at a time of crisis.

‘We have stated our intention not to act on any CVs received from Satyam’s employees. This is to ensure that nothing is done that will adversely impact Satyam’s future. This is no reflection on the integrity and competence of Satyam’s employees. We respect them as professionals,’ Narayana Murthy said in a statement.

Filed under: India, Infosys, Satyam

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