A. Saye Sekhar
To prevent the staff from parting with inputs
No press conference or media interaction will be conducted without the clearance by the company’s legal counsel.
HYDERABAD: Satyam Computer Services has clamped large-scale restrictions on information sharing only to prevent the employees from parting with inputs they have about the goings-on in the company, as the process of finding a suitor has commenced and likely to conclude by April-end. No press conference or media interaction will be conducted without the clearance by the company’s legal counsel.
“The company may respond to unsolicited inquiries from analysts, securities firms, potential investors and representatives of the Press, but responses must be limited to information that has already been made public by way of press release or other formal announcement.”
In a letter addressed to associates, CEO A. S. Murty, who profusely eulogised the commitment demonstrated by the staff, said: “It is critical that we strictly adhere to the information disclosure guidelines relating to the bidding process and ensuing preferential allotment (“dos and don’ts,” attached) issued by our legal counsel. Satyam has traditionally been a publicity-shy company, but one with a certain understated brilliance.”
T. Hari, Senior Vice-President, marketing and communications, too in an e-mail sent to the staff on Sunday explained the dos and don’ts in conformity with the Securities and Exchange Commission (SEC) of the U.S. and the Securities and Exchange Board of India (SEBI).
All public releases must be routed through Mr. Hari and any “information must be consistent with the details contained in any offering or due diligence material provided to any potential investor in connection with the offering.
Any public releases containing restricted information, any press conference, interview with the media, public speech during which references might be made to the offering cleared by Amarchand Mangaldas Suresh A. Shroff & Co., Latham & Watkins LLP and Sullivan & Cromwell LLP and Goldman Sachs (India) Securities Pvt. Ltd. and Avendus Capital, the mail said. “Restricted information” was defined as sensitive information like financial details, operational aspects, and projections that could encourage interest in the offering of the company.
No promotional seminars or press conferences should be conducted in the U.S. No employee should post restricted information on the Internet nor initiate any meetings with analysts or securities firms.