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PwC in £15.3 Million Settlement Over Satyam Audit

3 May 2011 12:00 AM | Anonymous

PricewaterhouseCoopers affiliates agreed to pay $25.5 million (15.3 million pounds) to former Satyam Computer Services Ltd investors to settle U.S. litigation over the audit of the Indian outsourcing company.

The settlement came four weeks after PwC agreed to pay a record $7.5 million U.S. penalty over its auditing work for Satyam.

In papers filed late Friday in the U.S. District Court in Manhattan, lawyers for the investors wrote that the accord followed mediation and was an "excellent result" for their clients.

Satyam's founder and former chairman Ramalinga Raju had in January 2009 revealed that what was once India's fourth-largest outsourcing company had fraudulently inflated revenue, income and cash balances by more than $1 billion over five years.

The fraud is sometimes known as "India's Enron," referring to the U.S. energy company that collapsed in 2001.

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