Cops raid slaughterhouse; arrest 3; seize 3 cows, 200kg meat, 3 vehicles

Feb 19: Bavaguthu Raghuram Shetty was once a typical billionaire with a taste for the high-life.

He splurged on a private jet, vintage cars and two entire floors of the Burj Khalifa, the world’s tallest skyscraper. His website shows him hobnobbing with politicians, Bill Gates and Bollywood royalty.

“The thrill of speed and freedom makes me love cars,” Shetty, 77, told local reporters last year.

Shetty had more than enough money -- at least on paper -- to afford such a lifestyle from companies he helped found, including hospital operator NMC Health Plc and financial services firm Finablr Plc. On Dec. 10, his stakes in the public companies were valued at $2.4 billion, making up the bulk of a fortune spanning education, hospitality and one of the world’s oldest tea companies.

Then, a week later, Carson Block came along.

Block’s investment firm, Muddy Waters, issued a report criticizing NMC’s accounts and disclosing a short position. Since then, Muddy Waters’s scrutiny has snowballed into a troubling scenario for Shetty that sheds light on his complex share arrangements and casts doubts about his net worth. His holdings in Finablr and NMC are worth $885 million, but Shetty’s fortune may now be just a fraction of that, depending on the size of his borrowings.

Filings this month show that Shetty pledged a quarter of his NMC stake against loans with First Abu Dhabi Bank and Zurich-based Falcon Private Bank. Two other shareholders may own half of his reported stake. Another lender -- Al Salam Bank Bahrain -- has already sold some of those shares to enforce security over a loan for Shetty, and NMC said Tuesday that First Abu Dhabi Bank sold another chunk earlier this month.

The situation “seems to have gone beyond some of the issues that Muddy Waters focused on initially,“ said Gavin Launder, a fund manager at Legal & General Investment Management, who owned shares in NMC until October. “The increased scrutiny has unearthed other issues.”

Law firm Herbert Smith Freehills has launched a review of Shetty’s holdings at his request, a spokesperson for the Indian-born businessman said, declining to comment further until the analysis is completed. Shetty resigned Sunday as NMC’s chairman.

In its Dec. 17 report on NMC, Muddy Waters hinted at potential overpayment for assets, inflated cash balances and understated debt. Shares of the United Arab Emirates’ biggest private health-care provider have since plunged 67%, and the firm is now the focus of takeover speculation. The sell-off also spread to Finablr, whose stock has tumbled 64% in that span.

NMC has disputed Muddy Waters’s claims, and the company hired former FBI Director Louis Freeh to conduct an independent review of the short seller’s allegations. Meanwhile, local regulators “are making inquiries with the relevant parties,” a spokesperson for the U.K.’s Financial Conduct Authority said.

Shetty is hardly the only ultra-wealthy person to leverage his assets. Elon Musk has used his shares in Tesla Inc. to obtain personal loans, while Oracle Corp. Chairman Larry Ellison has put up millions of the company’s shares to fund a lavish lifestyle that includes trophy properties, America’s Cup teams and the Indian Wells tennis facility in California.

But such deals can also sour, as demonstrated by Shetty’s lenders selling shares his investment firm pledged. He and his advisers are investigating details of the sales as part of their legal review, according to filings.

To complicate matters, Shetty pledged another batch of NMC stock in 2018 as part of a so-called equity collar arrangement with Goldman Sachs Group Inc. that uses options to limit the impact from share moves. Last month, he also pledged most of his stake in Finablr to refinance a loan from the company’s takeover of foreign-exchange firm Travelex for about $1.2 billion.

BRS Ventures Investment, the UAE-based holding company for most of Shetty’s assets, doesn’t report consolidated financials, preventing a complete analysis of his net worth. His other assets include a catering company, a waste-management firm and pharmaceutical business Neopharma, which four months ago was in the early stages of planning for an initial public offering.

Block, 43, earned his reputation as a short seller a decade ago through targeting U.S.-listed Chinese companies that he claimed were frauds. More recently, his San Francisco-based firm focused on British litigation-finance firm Burford Capital Ltd. and Japanese biotech stock PeptiDream Inc. Short sellers seek to benefit from a decline in a company’s share price.

Shetty founded NMC in 1975 after moving to Abu Dhabi from his native India. He created Finablr two years ago to consolidate his financial brands before listing it on the London Stock Exchange in 2019.

Block said he didn’t anticipate NMC’s shareholding drama.

“I wouldn’t have been able to predict that we’d get these bizarre disclosures about unclear share ownership coming out of the company,” he said in a Feb. 13 phone interview. “This has been obviously a more dramatic unraveling than we usually see.”

Bengaluru, Jul 4: Amid the rising COVID-19 cases in the state, the Karnataka COVID-19 Task Force has decided to set up booth-level committees across the state including 8,800 here for effective monitoring and surveillance.

The task force also released detailed guidelines for home isolation for asymptomatic cases including 17 days ''home isolation'' for patients below 50 years of age. It also warned of legal action against those health workers for disrespect to the bodies.

Briefing reporters after the meeting on Friday, Medical Education Minister Dr K Sudhakar said the local management will be strengthened for effective monitoring and surveillance of COVID-19 cases. "There will be booth-level task force committees throughout the state right from the village to Bengaluru.

These task force committees will act at the ultra local level. The task force will act as a structural and functional unit of COVID-19 dealing with monitoring, surveillance, checking of all the ILI cases, ambulances and hospitals," he added.

He also said the committees will comprise one member each from the Health department, police department, municipalities or Panchayat, volunteers, valveman. The committee will have five to six members.

The principal secretary in the Village Development and Panchayat Raj department L K Ateeq has been appointed as the nodal officer to manage the task force in the rural areas whereas in the urban areas, the Urban Development secretary, the municipal administration directors and the municipal commissioner will form the local task force.

"In Bengaluru alone 8,800 teams will be formed, which will be coterminous with the 8,800 booths in the city. They will provide the real-time data. They will be imparted training," the minister added. Noting that there were about 8,800 electoral booths in Bengaluru city and each booth will have a task force committee, he said a nodal officer has been appointed to oversee this.

The state level task force also came out with a slew of conditions. As far as home isolation is concerned, it would apply for patients who are below 50 years and have no symptoms of any other disease, and their homes should have a toilet and have an attendant.

He also said home isolation duration has been increased from 14 to 17 days. "People should not get fever in the next three days after completing 14 days, else they will be quarantined for another seven days. If they don''t get fever then they will be freed to perform their personal activities," Sudhakar said.

Those who are above 50 years and have comorbidities, will be treated at the COVID care centres only and they will be under medical supervision and be subjected to regular tests. The state is also making arrangements for telecommunication for those who are asymptomatic but wish to speak to a doctor.

It was also decided to have at least two ambulances in each of the 198 wards of Bengaluru. The minister said the additional commissioner of police (traffic) will be the nodal officer to coordinate the movement of ambulances. The task force has also appointed a nodal officer to manage the hospitals based on the availability of beds and ventilators. The officer will provide real time information about beds.

"We want to make sure that no one has to run from one hospital to another," Sudhakar said. On the cremation of the bodies, Sudhakar said guidelines have been issued on how to handle bodies at mortuaries, taking them in the ambulances, human treatment to the deceased while performing the last rites and fumigation of the bed. "Legal action will be taken against those who treat bodies in an inhuman way," Sudhakar said.

The state-level task force has also decided to arrange for test reports within 24 hours. It has also been decided to increase the testing capacity from the existing 15,000 a day to 25,000. In view of the spurt in COVID-19 cases, the task force also recommended antigen tests in crowded areas to check whether there was community spread.

To a question on closing down the border, the minister said there is no question of lockdown. "We cannot hide from this disease. It is not a solution. We have to live with it now, yet maintain a distance from it," he added. Sudhakar, who is a doctor himself, said COVID-19 is not as deadly a virus as those he had seen in the past and asked people not to be scared of it.

Mangaluru, Mar 30: Indira Canteens and Kadiri Manjunatha Temple here have started distributing food packets to the poor, stranded labours, destitute and needy in the wake of the COVID-19 lockdown.

''We have prepared over 2,000 food packets in the morning. The same number will be prepared in the afternoon and night for distribution," said Prabhakar Shetty from Indira canteen at Urwastore in Mangaluru on Monday.

"The MCC teams come and collect food for distribution among the poor, beggars and destitute," he added.