Special Judge BVLN Chakravarthi pronounced his judgement holding Ramalinga Raju and nine others guilty of cheating, forgery and criminal breach of trust. After pronouncing the order, the judge directed the CBI to take all the accused into custody.
Ramalinga Raju and his brother B Rama Raju were also fined Rs 5 crore each by the court. Eight others accused in the case were fined varying amounts up to Rs 25 lakh by the court. The Court considered over 3 thousand documents and examined over 200 witnesses during the trial that went-on since 2009.
The scam came to light in 2009 after Ramalinga Raju allegedly confessed to manipulating his company’s account books and inflating profits over many years to the tune of over seven thousand crore rupees. Charges against Raju and others also included forgery of valuable security carrying minimum punishment of 10 years imprisonment and maximum of life sentence.
Raju and former employee G Ramakrishna were also found guilty under section 201 (causing disappearance of evidence of offence) of IPC by Special Judge Chakravarthi, in the case probed by CBI. Except Raju’s another brother B Suryanarayana Raju and former internal chief auditor V S Prabhakar Gupta, all the others eight accused were found guilty under IPC sections 467, 468, 471 and 477A, relating to forgery of security, forgery for purpose of cheating and falsification of accounts, according to V Chandrashekhar, Superintendent of Police, CBI Hyderabad Zone.
While the accounting fraud was to the tune of Rs 7,000 crore, it had caused an estimated notional loss of Rs 14,000 crore to investors and unlawful gains of Rs 1900 crore to Raju and others.
Ramalinga Raju and his brother B Rama Raju were also fined Rs 5 crore each by the court. Eight others accused in the case were fined varying amounts up to Rs 25 lakh by the court. The Court considered over 3 thousand documents and examined over 200 witnesses during the trial that went-on since 2009.
The scam came to light in 2009 after Ramalinga Raju allegedly confessed to manipulating his company’s account books and inflating profits over many years to the tune of over seven thousand crore rupees. Charges against Raju and others also included forgery of valuable security carrying minimum punishment of 10 years imprisonment and maximum of life sentence.
Raju and former employee G Ramakrishna were also found guilty under section 201 (causing disappearance of evidence of offence) of IPC by Special Judge Chakravarthi, in the case probed by CBI. Except Raju’s another brother B Suryanarayana Raju and former internal chief auditor V S Prabhakar Gupta, all the others eight accused were found guilty under IPC sections 467, 468, 471 and 477A, relating to forgery of security, forgery for purpose of cheating and falsification of accounts, according to V Chandrashekhar, Superintendent of Police, CBI Hyderabad Zone.
While the accounting fraud was to the tune of Rs 7,000 crore, it had caused an estimated notional loss of Rs 14,000 crore to investors and unlawful gains of Rs 1900 crore to Raju and others.