Dr Zakir Naik files defamation case against 10 media houses

Abu Dhabi, Feb 17: NMC Health Plc, a hospital operator targeted by short-seller Muddy Waters, said founder Bavaguthu Raghuram Shetty resigned amid investor concern he faced a margin call and misrepresented his stake.

The board asked for Co-Chairman Shetty’s resignation and it takes effect immediately, according to a person with knowledge of the situation. NMC has lost four board members since Friday, including Vice Chairman Khaleefa Butti, whose holdings are also being probed. The stock, the worst performer on the FTSE-100 Index this year, fell as much as 9.2 percent Monday morning and then rebounded.

“The resignation of senior board members should be viewed positively,” said Abdulla Nahlawi, an analyst at Rasmala Investment Bank in Dubai. “The credibility of the current board has been jeopardized with the unfolding of the recent events.”

NMC shares lost almost half their value the first week of February on speculation the company’s main investors faced a margin call, in which banks seize shares pledged as collateral. NMC said Friday that First Abu Dhabi Bank and Al Salam Bank Bahrain obtained 20 million shares in the company from BRS International Holding, an investment vehicle of NMC’s top shareholders. The banks sold more than 8 million of those shares as “enforcement of security,” NMC said.

NMC operates the largest medical network in the United Arab Emirates and in 2012 became the first Abu Dhabi company to list in London. The shares started teetering in mid-December when Muddy Waters alleged that NMC manipulated its balance sheet and inflated the prices of companies it acquired.

Shetty, 77, was born in India and founded NMC in the 1970s after moving to Abu Dhabi. His spokesman said a legal review of the situation is ongoing and declined further comment.

Chief Investment Officer Hani Buttikhi and board member Abdulrahman Basaddiq also stepped down because they were appointees of Shetty and Butti, NMC said, adding that they had no knowledge of the share transfers.

Questions remain over the role of Shetty’s family at the company. His wife and son-in-law both hold roles in senior management.

Almost 10 per cent of NMC’s freely traded shares are shorted, according to Markit Securities data. In mid-December about a third of them were.

Last week GKSD Investment, an investment company backed by hospital investors, said it’s studying a possible offer for NMC. Under U.K. takeover rules, it has until March 9 to make a bid.

NMC has said Muddy Waters’s claims are false and the company hired former FBI Director Louis Freeh to conduct an independent review. The review is due to be completed before the company issues its financial results in March, the person said.

NMC said Mark Tompkins will continue as the company’s sole chairman.

Thiruvananthapuram, Feb 21: A school in the city has allegedly denied admission to a boy whose parents did not fill the religion column in the application form, prompting the Kerala education department to seek a report.

The parents, Naseem and Dhayna, had sought admission for their son to the first standard at the St Mary's school, a government-aided institution. They alleged that school authorities had claimed that registration will not be possible on the education department's 'Sampoorna' portal without filling the 'religion' column.

"We were informed by the school authorities that it was not possible to give admission to our child as we wrote 'nil' in the religion column. They claimed that if nil is mentioned, the admission process will not get registered in the school management software of the education department," Naseem said.

Sampoorna is a school management system project implemented by the Kerala education department to automate the system and process of over 15,000 schools in the state.

The parents later approached the ministry and the Directorate of Public Instruction (DPI) to get further clarification.

"The state government officials denied that there were any issues with the software and confirmed to us that the admission process was going on.

When we approached the school authorities again, they asked us to give in writing that we, the parents will take responsibility of any issues that may occur in the future," Naseem said.

The parents then decided not to enroll their son at the school due to the manner in which the issue was handled by the institution. Reacting swiftly, the state government sought a report from the DPI and the deputy director of the education department on the matter.

"We have asked the DPI and the deputy director of the education department to look into the matter and file a report as soon as possible," Education minister C Raveendranath told PTI. The parents said after the news spread, a school official called them offering admission.

"But we decided not to enroll him there due to the approach of the school authorities," he said.

Naseem runs a catering business after returning from the Gulf.

The school management in a release claimed that they sought a letter in writing from the parents to avoid trouble in the future. "When school authorities asked why the religion column was left blank, the parents said they were not interested in filling that part. The parents have that right.

But most benefits given by the government to school children are based on religion. We just wanted to ensure that the parents take the responsibility in case the student misses out any such benefits in the future," the management said.

School authorities maintained they never denied admission to any student. The parents are now looking for admission for their son in other schools in Thiruvanathapuram.

Ravindranath recently claimed in the state Assembly that over one lakh children in Kerala had left columns relating to caste and religion blank in school admission records during the 2017-18 academic year. In a written reply, he said as many as 1,24,147 children had not filled these columns while enrolling in different classes in government and government-aided schools during the period.

Bengaluru, Apr 30: The Karnataka government on Thursday decided to allow migrant workers, tourists, students and others stranded in different parts of the state due to the ongoing lockdown to return to their native places, a day after the Centre issued guidelines for the process.

This will be a one-time movement and the government would arrange buses for those in need but they should bear the expenses, Law and Parliamentary Affairs Minister J C Madhuswamy said. He also said people willing to return to the state would have to undergo tests for COVID-19. The decision was taken at the state cabinet meet and it might come into effect from Friday as the Chief Secretary will have to issue an official order, he said.

"Prime Minister Narendra Modi had taken decision on movement of people and the Centre had issued a circular in this regard. Following this we have decided to permit interstate and inter-district movement," he told reporters here.

Travel expenses should be borne by those willing to return and if they want the government can provide buses from the state transport corporations. The Union Ministry of Home Affairs on Wednesday issued orders allowing migrant workers, tourists, students and other people stranded in different parts of the country to move to their respective destinations with certain conditions, giving a big relief to the distressed people. Decision on opening of salons and liquor shops will be taken after May 3, he said.

Madhuswamy said permission would be given for one-time movement of labourers and others who want to go from one district to other for work or any other purpose. Those operating industry or establishment and want to move from place to place for management purpose will be given passes with strict scrutiny and through checks.

Responding to a question, the minister said, "we don't know yet how many are willing to go, where they will go, if some one asks for permission, we will permit." "One family or two or three people want to go, they can use taxi. If too many people want to go, we will provide facility through transport corporation buses," he said.