Siddaramaiah downplays rift in Congress

Abu Dhabi-based NMC Healthcare has reportedly received bids to sell its distribution unit and will soon be selling it to different parties.

The development comes over three months after NMC Healthcare’s founder and then-chairman B R Shetty stepped down amid allegations of massive fraud. 

The company, which recently laid off hundreds of workers, is offloading stake in the subsidiary as it is considered non-core and requires substantially high working capital to run the operations. In addition, this stake sale will help the company pay off some of its debt

"There are parties who have strong interest in the distribution business. NMC will be offloading the unit soon and that also to different parties," a source said.

"The company is in the process of exploring options for NMC Trading, the group's distribution business, which it has determined to be non-core and requiring substantial levels of working capital. The process should not materially adversely impact distributors' activities, nor NMC Trading's customers," an NMC Healthcare spokeswoman said.

The UK-court has appointed Alvarez & Marsal as administrator to oversee the operations of the debt-ridden hospital operator. The healthcare firm has been caught in a whirlpool of $6.6 billion debt while its senior former high management team is under investigation for financial irregularities.

The UAE Central Bank has direct local banks to freeze all bank accounts of NMC founder BR Shetty and his family members as well as accounts of those companies where he has a stake. The Central Bank move is subsequent to a criminal complaint filed by Abu Dhabi Commercial Bank, which has the largest exposure to NMC Healthcare, amounting Dh3 billion.

As the company faces financial difficulties, Reuters reported that NMC Health delayed May staff salaries and now expects to complete making payments by the first week of June.

The spokeswoman said: "The company has been in regular dialogue with its creditor constituencies through various creditor committees, including the direct bank lenders to its NMC Trading businesses."

Bengaluru, May 24: Karnataka Tourism Minister CT Ravi said that coronavirus lockdown has severely marred the tourism industry in the state and the government will revive it in a phased manner.

"It would be beneficial if hotels are opened keeping in mind few restrictions. At present, the tourism industry has fallen flat making it very difficult to promote tourism in the state," Ravi said.

"Our department has planned to promote tourism in a phased manner. In the first phase, we would focus on native tourism; then in the second phase, we will promote inter-district travel; in the third phase, we will put weight behind inter-state tourism and in the fourth phase, we would be promoting international travel and tourism," he added.

Karnataka's COVID-19 count surges to 1,958 with 216 new cases of the virus reported in the last 24 hours, said the Health Department in a bulletin on Saturday.

Out of the total number of cases, 1,307 patients are active cases and 608 patients have been discharged. The total number of fatalities due to COVID-19 in the state has risen to 42.

Chikkamagaluru, May 9: Karnataka Minister for Tourism C T Ravi on Friday said that Indians who are stranded abroad are being repatriated into the country on the pre-condition of quarantine.

“The Centre is repatriating Indians who are stranded in around 37 countries, amid the lock-down, of which people from Saudi Arabia and Dubai will be brought via ship for free. These people will have to undergo the mandatory quarantine period once they land in the country,” Ravi told media here.

The government has accorded priority to the elderly and pregnant women during the repatriation process. The state government has held due discussions with the Centre in this regard, he added.