It’s finally curtains for the Australian chapter of the Satyam with the Mahindras finally deciding to log out of the proposed A$75
million IT hub spread over 10 hectares that the disgraced Satyam founder had promised to set up in Victoria state’s second largest city of Geelong. According to latest Australian media reports, Mahindra Satyam has conveyed its decision to pull the plug on the project to the Victorian Labor government headed by Premier John Brumby, which has been facing considerable flak for paying an undisclosed sum of money last year to woo Satyam to its shores. Top Mahindra Satyam officials in Hyderabad confirmed the news. Mahindra Satyam’s corporate affairs president, Sujit Bakshi, is reported to have conveyed the company’s decision to Victoria’s IT minister, John Lenders, in a letter. Reports in "The Australian" and "Geelong Advertiser" have quoted Bakshi as saying: “The need to concentrate on an extensive internal restructuring program of our business precludes Mahindra Satyam from embarking on expansion projects of this kind. While Mahindra Satyam is disappointed that it cannot proceed with the centre, it reaffirms its commitment to future expansion in Victoria when circumstances allow.” It is a fantastic outcome that will involve A$75 million of new investment in Geelong by Satyam, will create over the next eight years new jobs in Geelong with Satyam, and will lead to an increase of A$175 million in GDP in our state," Brumby had earlier told the parliament after the deal was announced during Raju's visit to Geelong in April 2008.
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