“It is a process. We are looking at it when to commence it, and we are hoping that by the next year, sometime in later half of the year, this amalgamation will, in fact, take place,” he told reporters while declaring Q2 results of Mahindra Satyam.
Nayyar evoked that after winning the bid for the company in April 2009, Tech Mahindra had specified its intent to merge. “That intention remains,” he said.
Tech Mahindra had acquired Satyam Computer Services Limited in April 2009. Some months after Satyam were flustered by India’s biggest corporate fraud. Satyam was later re-named Mahindra Satyam.
The company has already paid $10 million to settle the US Securities and Exchange Commission’s suit over the fraud. It paid $125 million to settle class-action suits and a new $70 million to settle the unpaid case.
On the Income Tax department’s notice to pay Rs.616 Crore tax, Mahindra Satyam CEO CP Gurnani said that the demand on fictitious income was perverse. “That is the reason we have chosen to go to court and are seeking justice,” he said.
The Mahindra Group Company had been prior said that, on the one hand, the government agencies were indicted earlier Satyam chief B. Ramalinga Raju for showing fictitious income, but on the other, making the similar fictitious income a basis for demanding taxes.