Dubai, Jul 25: The founder of NMC Health, BR Shetty, has had a worldwide freezing order placed on his assets at the request of a lender that claims he has defaulted on a loan of more than $8 million (Dh29.4m).
The order was granted to Credit Europe Bank (Dubai) last month ahead of a claim filed at the DIFC Courts against Mr Shetty, New Medical Centre Trading and NMC Healthcare.
The lender said in its claim they “are jointly and severally liable” for the repayment of money initially secured through a credit agreement in December 2013 and renegotiated in December last year. Credit Europe Bank is an Amsterdam-headquartered institution specialising in trade and commodities finance with operations in nine countries.
The credit agreement was guaranteed by two security cheques which the bank said in its claim were signed by Mr Shetty – one drawn on his personal account and another on the account of New Medical Centre Trading – that have been "dishonoured upon presentation due to insufficient funds".
The bank claimed Mr Shetty “has now fled the jurisdiction of the UAE to India” and that there was a risk of his “substantial” assets in the Emirates being dissipated.
The assets frozen include properties in Abu Dhabi and Dubai, as well as shares in NMC Health, Finablr, BRS Investment Holdings and other companies. It allows for up to $7,000 per week to be spent on “ordinary living expenses and reasonable sum[s] on legal advice and representation”, a DIFC Courts document granting the freezing order shows.
Credit Europe Bank declined to comment when contacted by The National, stating it does not comment on ongoing litigation proceedings. Representatives for Mr Shetty and for NMC Healthcare, which is now being run by administrators Alvarez & Marsal, also declined to comment.
NMC Healthcare was founded by Mr Shetty in 1975 and grew from a single hospital into the UAE’s biggest privately-owned healthcare operator, which employed 2,000 doctors and 20,000 other staff. The company was listed on the London stock exchange and at its peak was valued at £8.58 billion (Dh40bn). However, its shares slumped after short seller Muddy Waters Research issued a report in December 2019 alleging the company had inflated its cash balances, overpaid for assets and understated its debts. This led to a string of damaging revelations by the company, including the fact that its debt was materially higher – at $6.6bn – than the $2.1bn on its balance sheet. NMC Healthcare was placed into administration in April by its biggest creditor, Abu Dhabi Commercial Bank, but its UAE businesses continue to trade as a going concern.
Mr Shetty said in a statement issued in April that he has been a victim of fraud committed by "a small group of current and former executives” at companies owned by him. He said bank accounts were created in his name and transactions were made without his knowledge, and that loans, cheques and bank transfers were also fraudulently guaranteed in his name using his forged signature.
In response to the claim filed by Credit Europe Bank (Dubai) at the DIFC Courts, Mr Shetty says he did not personally guarantee loans made to NMC Trading or NMC Healthcare and that the signatures used on cheques guaranteeing the loans are forgeries. His defence cites the opinion of “Dr Al Bah, an independent, experienced and qualified forensic document examiner”, that someone other than Mr Shetty signed the lending agreements and cheques.
An application by NMC Trading and NMC Healthcare to the DIFC Courts to have the claim against it heard in private for fear of triggering claims by other lenders – the group owes money to around 80 local, regional and international lenders – was dismissed, given that the appointment of administrators at the group and allegations of fraud at the company are already in the public domain.
Both companies have indicated to DIFC Courts that they intend to contest the claim against them.
Comments
Ya ya rightly said bopanna...90% of rapes world wide done by them only ..mustapanna ...piece kabab country kananna adu ...
Third rated person from third rated community ...he must be sent for 5 years jail...in their community women are treated as property ...no voice and no respect for opinion ...jail that rapist ..ley sheikh koorappa saaku ...u don't have any rights to say that. .....frustration yaargappa sameee...jihadists are highly frustrated across the globe ...India dallanthu ..burnol sales day by day jaasthine agtha ide...Russians are banging kaali plate of Islamic state ...Islamic banana republic of porkistan are banged up by RAW ,Chinese are banging third rated in people and asking them to shave their beards ..turkey itself getting banged front and back ...no need to say about Israelis ..haha ..Israel hesru helidre ...loose motion suru Agathe jihadi galige ..haha ..adu bidi maarre ...papa the Jana Myanmar navaru jihadi gala attahaasavannu end madlikke rohingya galanna odistha iddare ..mostly bunder nalli iro bunder galige artha agalla ..yaake Andre avakke tale ne tirgalla ..tale yaake tirgalla Andre mallya juice haakalla ...haha...baa maams siddu has brought down on tax on wine...neenu hodi .sheikh GU haaksu ...burnol ge haako dudnslli swalpa karch maadi aitha ?...haha
.... But still, islum has more rapists and thrives per 100 of population .....
Aslum gussa mat Ho ! Islam is full of peas ! Happy ?
Bopanna,
Just shut your mouth, in each religion, each city, each country there is good and bad people, it doesn't mean what you barking!! Senseless fellow...
At what age did wish a get married ?
BhaiLog, sach kadva hots hai.
Why u lot barking when u hear the truth ? Look at most rapes who is behind it ? In Kerala one girl killed by whom ? ANWAR UL ISLAM !!!
Bopanna is your name is named by your parents? or r u shamed of your name which your parents named you and you changed yourself? Dont be shamed show your identity so all can know wich material ur made up from.. May god give you some knowledge and peace.. follower of frustated party... haha
Bopanna: be matured, go through all the crime incidents and please dont try to climb for religious status. Mr Bopanna(its not your real name) might you are working and getting salary from religious of peace people's country) why cant you get out from KSA??? BE WELL MATURED BEFORE COMMENT.
@Bopanna. If you judge a BMW car by the driver of it, then your perception is not correct.
follower of piece is namo naresh !
The minute I read the heading I was thinking that this guy must be the
Follower of the \religion of peace\". As expected from you guys anyway"
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