Strong corporate governance need of the hour: Cognizant

Expressing shock over Satyam's revelation of accounting fraud, US-based technology giant Cognizant on Wednesday said the entire
episode reinforces the importance of strong corporate governance.

"We are shocked and dismayed by today's announcement of fraudulent accounting by Satyam. Such a situation reinforces the value and importance of strong corporate governance and many other additional controls imposed on US companies that are subject to the Sarbanes-Oxley Act," Gordon Coburn, Chief Financial and Operating Officer, Cognizant said.

"At Cognizant, we follow rigorous corporate governance practices. In addition to independent testing of our annual compliance with the Sarbanes-Oxley Act, Cognizant retains both outside legal counsel and independent accountants to ensure that good governance practices and regulations are followed," he added.

Chairman of the country's fourth biggest software exporter, Satyam, B Ramalinga Raju today resigned and admitted that the company was "fudging" its accounts for several years.

source: http://economictimes.indiatimes.com/Infotech/Software/Strong_corporate_governance_need_of_the_hour_Cognizant/articleshow/3947973.cms