Embarrassed B R Shetty helplessly resigns from Abu Dhabi’s ailing NMC Health

News Network
February 17, 2020

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.

Comments

sunita kejriwal
 - 
Monday, 17 Feb 2020

BRS could not fool all the people all the time!

 

Bhakth
 - 
Monday, 17 Feb 2020

Illegal way of earning will not last for long. 

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News Network
February 18,2020

Bengaluru, Feb 18: Veteran actress Kishori Ballal, 82, best known for playing Kaveri Amma in Ashutosh Gowariker’s Swades, passed away on Tuesday. She was suffering from age-related health issues and breathed her last at a Bengaluru hospital.

Kishori, who hailed from Mangaluru, made her debut in Kannada film 'Evalentha Hendathi' in 1960.

In a career spanning five decades, she went on to act in movies like Hani Hani, Kahi and Suryakanthi. A Bharatnatyam exponent, she was also a part of Hindi films like Lafangey Parindey, Ek Alag Mausam and Gair Kanooni.

Kishori Ballal played the role of Kaveri Amma, the nanny of Shah Rukh Khan (Mohan Bhargav) in Swades.

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News Network
February 1,2020

Bengaluru, Feb 1: The police have arrested two miscreants belonging to a saffron outfit after they threatened students in the city who were protesting the firing incident near Delhi’s Jamia Millia Islamia, telling them they would meet the same fate as the injured student.

Saffron extremist Gopal Sharma had opened fire at students protesting the Citizenship (Amendment) Act near the Delhi varsity on Thursday, injuring one.

The Bengaluru incident took place at Maurya Circle, where the nightlong demonstration against the Jamia firing and CAA began around 7.30pm. By 11pm, the number of protesters reduced to 30 but the group decided to stay back after getting the news of another alleged attack on women and Jamia students by Delhi police.

According to Adrian, a student who was at the scene, the small group of protesters stayed within a barricaded area on the road, chanting slogans, singing patriotic songs and playing music. “While we were raising anti-CAA slogans, two men from among us began shouting pro-CAA slogans. The duo was unknown and when we looked at them, they quietly moved away,” said Adrian, adding they were drunk and returned after a few minutes.

Saqib Idrees, another student protester, said the duo began to issue verbal threats. “They threatened us in Kannada that they would repeat the Jamia incident in Bengaluru,” said Saqib, adding the duo also taunted them saying ‘it’s not CAA down down, but you all will be brought down’.

When the students questioned the miscreants, cops stationed at the spot detained the duo. “Police were very cooperative. Almost 20 personnel were with us till 5am,” said Saqib.

Meanwhile, a friend of the duo watched the drama from a distance and approached the protesters to apologise on their behalf. “He said they belonged to the working class and FIRs would destroy their lives. He apologised to us and we decided to let the matter go. After all, we are Gandhians,” added Saqib.

Adrian said though the two men were drunk, their threats exposed their ideology. After the duo was detained, the students continued their protest till 5am and dispersed after singing the national anthem.

According to High Grounds police, the men are bank employees and were detained for disturbing the protesters at Maurya Junction. “They are from Andhra Pradesh and work in a PSU bank in the city. One of them is set to get married in February. He had thrown a party for his other friends for the same reason. The duo was drunk when confronted by the protesters. We booked a case of public nuisance and let them off after a warning,” police said.

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News Network
February 5,2020

Chennai, Feb 5: In order to ensure housing for all, the Madras High Court has proposed ban on non-resident Indians from purchasing houses in India, prohibit speculative sale, and impose 100 per cent extra stamp duty on purchase of second house.

The court on its own impleaded the Union housing and finance ministries as party respondents.

It has directed them to answer a series of questions including as to how many families have basic amenity of housing in India as well as in Tamil Nadu, population and housing ratio in the country and in the state, when 'Housing for All' mission of the central government would be achieved.

"Why the government does not consider imposing such restrictions to control escalation of house prices and to provide a house to every family in the country, a division bench of Justice N Kirubakaran and Justice Abdul Quddhose wondered.

Directing the authorities to inform as to whether the central and state have got special schemes to provide housing for the marginalized and economically weaker sections including SC/ST communities, the bench has also sought the details of the number of families that possess more than one house.

"Why the governments do not restrict families/individuals from purchasing/possessing more than one housing unit/flat/plot till "Housing for all" is achieved?

Why not the government charge 100 per cent more or extra stamp duty to discourage buying more than one house by a family while purchasing second house?

Why not the government conditionally allow the families to purchase more than one house provided the said family pays 100 per cent extra statutory dues like property tax, electricity charges, water and sewerage charges on the second property?" the bench said.

This apart, the court also wanted the authorities to know as to why it should not prohibit the NRIs from purchasing houses in India to bring down the cost of housing.

Justifying its directions, the court said "Lakhs and lakhs of people are living on platforms, roads, and cement pipes, slums, under the trees and on banks of water bodies without proper shelter and basic amenities and safety."

It is true that the Centre had taken a policy decision to provide housing unit to every family.

It should be achieved at the earliest, the court said, adding it could become fruitful when restrictions are put on persons who hold more than one housing units.

The court passed the order while hearing an appeal moved by the Tamil Nadu Housing Board challenging a single judge order against acquisition of about 369 acres of private land in Thudiyalur and Vellakinar areas of Coimbatore for a housing scheme.

Comments

Suresh SS
 - 
Wednesday, 5 Feb 2020

We believed that only Indian Govt. ministers, MP and MLAs has this disease, now it is spreading everywhere even Indian High courts. it is certainly very harmful virus  

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