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Don Tennant's picture
Don Tennant

Stirring IT Up

Sanjay Kumar: Hero or villain?

The Editor's Note I wrote last week, in which I defended former CA CEO Sanjay Kumar, seems to have caused at least one reader to just about lose his lunch. I argued that Kumar, who's serving a 12-year sentence in a New Jersey prison for accounting fraud, had spearheaded a remarkable transformation of CA, and that he doesn't deserve to be vilified for his mistakes when it was Kumar's predecessor, CA founder Charles Wang, who instilled the culture of fraud that permeated the company for years. I maintained that it was Wang who was ultimately responsible for the reign of terror at CA.

The reader is a former employee of Uccel, a mainframe software company that CA acquired in 1987, and that employed Kumar as director of software development. The reader's experience there led him to reach a much different conclusion about Kumar, and he e-mailed me last night to tell me about it. Here's what he had to say:

Don, I was a Senior Director at Uccel and interviewed Sanjay Kumar for a low-level manager job about six months before CA bought Uccel in 1987. Sanjay told me a number of lies that I personally knew could not be accurate, and some others that I verified with my large circle of friends in IT. I passed the fact that he told the lies to the top level of management at Uccel, but he was hired anyway. When Charles [Wang] and [his brother] Tony came in, they chose Sanjay (only with Uccel for six months) as the person to represent Uccel in New York. This was very strange and showed me that he was most likely a plant in Uccel. Sanjay became the manager of all of Uccel in the fall of 1987 when CA took over, and the rest is history. Clearly, Charles and Tony were crooked, and the IT industry knew it very well. I was offered a marketing position in New York, but I turned it down because of the well-known crooked character of Charles and Tony. I believe Sanjay was a strong part of the crimes of cover-up and lies and should have been required to pay far more than the $52 million because of all the impact on millions of people who had so strongly invested in CA. He is a crook and needs to stay in a real prison for the entire time. I strongly agree with you that Charles deserves 10 times the prison time, but Sanjay treated many of the excellent Uccel employees like dirt after he became their manager.

Thanks for letting me get this off my chest. Sanjay is not the hero you make him out to be. He hurt millions of people with his ego and his following of Charles' sanctions. Please do not print my name in your magazine. I might end up in a bay somewhere.

As I told the reader, his perspective is an important one to add to the discussion. Any former Uccel employees care to chime in?

What People Are Saying

Kumar

As a CA employee from 1998 until last year I found Sanjay to be a more approachable figure than Charles. There was a palpable sigh of relief when Charles stepped aside and Sanjay began spreading his message of humanism and quality. Within the corporation today people are still forming in two broad camps on the issue of whether he was guilty of crimes or not. When he took over, Sanjay made it clear to everyone that high ethical standards were of the most importance and instituted our first and maybe best set of Core Values to guide employees’ interactions with each other and our customers.

The infamous CA extended month would not have been a problem if the company was privately held. However as a public company and in today’s post-Enron climate this “feel good” tactic was not acceptable. And the company did not tolerate theft of funds. In a stark contrast to CA's problems, the Learjet corporation was able to meet a contractual obligation by having a flight officially certified as having taken place on December 32, 1980 and, as reported by CBS’s 60 Minutes, everyone appeared happy about it.

CNN ran an article in 2006 with the title “CA: America's most dysfunctional company” that describes the problem pretty well. http://money.cnn.com/magazines/fortune/fortune_archive/2006/11/27/8394334/index.htm.

One thing people tend to forget is that virtually all companies have serious problems and for the most part do a good job of keeping the information in-house.

My own feeling is that he was the fall guy for practices that were put in place before he took over. The degree to which he may have participated in questionable practices is unknown to me, but having seen him at work I’d like to think he was not trying to deceive the shareholders.

Sometimes the difference between a hero and a villain is simply be a matter of where you take the picture.

Choice ...

I have a choice to write or not write this response. You have a choice to read or not read this text. Sanjay had the choice to accept or not accept what was happening.
The bottom line is that we all make choices and we all have to live with the consequences of our choices. Sometimes the possible consequences for ourselves and others are harsh and sometimes light.But when you do something, you should first consider the best and worst case scenarios and then decide if and how to proceed. Sanjay did (or not) that and proceeded. He can not blame anyone else but himself about it.

If someone in his shoes decides to play the "... but I have been fooled" card, then he looses the right to claim brilliance or excellence as a businessman. Because judgement is what differentiates a good from a bad businessman.Sanjay cannot be smart and capable and at the same be behind the bars for that crime. Being really smart is a result of having a mixture of abilities. It combines judgement, knowledge, memory, fast processing and many others. Lacking some of these abilities, is a reason not to be called smart...

Greed and need is the driving force behind many crimes. White collar crimes are missing the need component.. No one has a real need to commit a white collar crime.