28th-Jul-2012 12:10Source: BSE

Mahindra Satyam - Updates

Satyam Computer Services Ltd has informed BSE that:

"Mahindra Satyam has entered into an Agreement of Settlement (the "Settlement") with Aberdeen Claims Administration, Inc., ("Aberdeen") the trustee for two trusts who are the purported assignees of legal claims against the Company belonging to twenty investors who allegedly purchased the Company''s common stock and American Depositary Shares prior to January 07, 2009, and who sold such securities shortly thereafter. Aberdeen had alleged that that the losses suffered by the twenty investors is over USD 68 Million.

The obligations incurred pursuant to the Settlement are in full and final disposition of the action initiated by Aberdeen in the United States District Court for the Eastern District of Pennsylvania, subsequently transferred and currently pending in the United States District Court for the Southern District of New York (the "Court").

Under the Settlement, the Company is required to inter alia deposit in an Escrow, an amount of USD 12 Million (equivalent to Rs. 667 million).

The Settlement itself is subject to the entry of an appropriate Consent Order by the Court that has not been delivered till date."