The independent director of Satyam Computer Services, Mangalam Srinivasan has resigned from the board. The resignation of the director came after the company was barred from doing business with the World Bank and came under scrutiny following an unsuccessful attempt to buy Maytas Properties and Maytas Infrastructure. The Indian outsource company said on December 16 that it will pay $1.6 billion for two infrastructure firms in which its management held stakes.

 

The two companies are owned by the two sons of Sataym's founder and chief executive B. Ramalinga Raju. Satyam had been declared ineligible for direct contracts with the World Bank for eight years on December 23. The World Bank said that the move was executed as Satyam Computer had provided improper benefits to Bank staff and failed to maintain documentation to support fees charged for its subcontractors.

 

According to reports, the non-executive director had quit her office as a part of her moral responsibility. Meanwhile the Hyderabad-based software major is likely to hold a board meeting on December 29. It is expected that the company will consider buyback of shares at that meeting.