Satyam scam pulls down markets by over 7 percent
By IANSTuesday, January 6, 2009
MUMBAI - Indian equities markets tumbled Wednesday after Satyam Computers chairman B. Ramalinga Raju admitted to having juggled with the firm’s balance sheet to the tune of Rs.40 billion ($823 million).
The sensitive index (Sensex) of the Bombay Stock Exchange (BSE) was down 7.31 percent or 755.62 points to 9,580.31 points, after opening higher than Tuesday’s close of 10,335.93 points.
The Satyam scrip crashed, losing 77.69 percent of its value to close at Rs.39.95 over its close of Rs.179.10 Tuesday.
The broader S&P CNX Nifty index of the National Stock Exchange (NSE) closed at 2,920.4 points, 6.18 percent lower than its previous close.
Other market indices like midcap and small cap indices fell as much as the Sensex. The BSE midcap index was trading 7.17 percent at the end of day’s trade, while the smallcap index fell by 6.29 percent.
