1. This refers to the article "Satyam not an isolated instance" (The Hindu, Jan.22, 2009). The risk of many more Satyams cropping will remain as long as the auditors of companies are overpaid and government regulators underpaid. This practice reinforces the 'yes boss' and 'yes sir' culture. Self-regulation just cannot work in a system where the mice do everything possible to drive the cat away so that they can play. Self-discipline and integrity should taught in primary schools as business schools consider teaching them a complete waste of time. One can find many ways to circumvent the best security system but not his conscience. - Berry J.Vethakkan, Chennai.
2. The Satyam episode has tarnished the image of not only one company but also the entire corporate sector. How far a shareholder can trust a company's 'audited' statement of accounts is now a moot question. Normally, a company's health should determine the market price of its shares. But over the years we find that the market price has nothing to do with the functioning of a company. The stock market seems to have become a gambler's den where gullible investors are taken for a ride. - S.S.Rajagopalan.
3. The vested interests have created the image that the stock market is a provider of enormous returns. All vital players - promoters, shareholders and investors - are in the market with unflinching greed for more and more profits. All kinds of manipulations, therefore, take place to ensure that all these players get more returns on their investment. - N.Sekar, Salem.
Courtesy: The Hindu, Madurai, January 23, 2009 ("Letters to the Editor")
Grateful thanks to M/s.Berry J.Vethakkan, S.S.Rajagopalan, N.Sekar and The Hindu.
2. The Satyam episode has tarnished the image of not only one company but also the entire corporate sector. How far a shareholder can trust a company's 'audited' statement of accounts is now a moot question. Normally, a company's health should determine the market price of its shares. But over the years we find that the market price has nothing to do with the functioning of a company. The stock market seems to have become a gambler's den where gullible investors are taken for a ride. - S.S.Rajagopalan.
3. The vested interests have created the image that the stock market is a provider of enormous returns. All vital players - promoters, shareholders and investors - are in the market with unflinching greed for more and more profits. All kinds of manipulations, therefore, take place to ensure that all these players get more returns on their investment. - N.Sekar, Salem.
Courtesy: The Hindu, Madurai, January 23, 2009 ("Letters to the Editor")
Grateful thanks to M/s.Berry J.Vethakkan, S.S.Rajagopalan, N.Sekar and The Hindu.
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