Amazing - Satyam Saga Post 2

Amazing stuff I've been reading. It seems the 8.6% stake that the Raju family owned in Satyam was already pledged to banks - They had borrowed cash against the same already and had used the proceeds to invest in Maytas Properties and Maytas Infrastructure. So the plan seems to have been to use all of Satyam's money to buy the shares they owned in Maytas and then return money to the banks to free up their shares. In effect, using money lying in a company they managed but owned very little of to exit their investments before the markets further deteriorated. Is it only me or does this whole confusing rigmarole seem almost criminal?

Poetic justice that their desperate actions caused the stock to plummet and meant their value did not cover the loans that banks had advanced to them earlier causing them to ask them for further collateral. They not being able to provide the same, banks went ahead and sold stock to recover as much as they could, further depressing the stock. It seems they could end up losing their entire shareholding in the company. Poetic justice indeed!!