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.
According to the reports, Shahnawaz, a resident of Uttar Pradesh's Saharanpur district, about 500 km from here, called his wife a few days ago and pronounced the word talaq' thrice and severed all relations with her.
Comments
He is a crazy without having any knowledge of islam. He only knows Talaq but does not know how to implement or follow it. such people are bringing shame to muslims and Islam. He should apologise for this great mistake and ask for pardon from Allah. May Allah give him right knowledge of Islam.
Rikacha ....idu democracy kanappa ....sumne avara paadige avaranna bidakke agalla ...crimes ge nimge non sharia beku ...kabbaddi adakke personal laws beku ...haha......hogappa ...eradu peg haaki ...bidko ...ohh ivattu yaava college hathra nu beat hogilla anths kanuthe raja Alva adikke....
I don't understand why non Muslims are more interested then Muslims to discuss about this subject. Mind your own business guys....don't disturb Muslims...they know what is good for them....
Very bad ...women are considered as property and I met one divorcee but well educated ..her husband left her just becoz she had baby girl ..he is roaming freely in India and she was in trauma ...later one good hearted married her ..of course he is a Hindu ...now they stay in Singapore only ...to send sexual abuse and polygamy ..govt must bring strong rules ....
Request everyone to watch video on triple talaq by Br.Imran. https://www.youtube.com/watch?v=MwNAgNNE-lI
This is an ignorant act to Claim a divorce, Divorce, in Islam is the most uncalled act for any man or women. The conditions and procedures are highly thoughtful & very clearly mentioned in Quran. A short example of one of the conditions: A triple Talaq doesnt mean reciting the word thrice & done, but, Giving a waiting period of 1 month to resolute and try to improve in between each claim of Talaq.
I would wish the commentators here just go through what the Quran says from the right source and understand the integrity of Justice given to both gender. This holds good for generations that's passed and for future to come.
When such incidents happens..
its a way Non Muslims & Some ignorant Muslims will know the reality of the divine law.
We Muslims know that Devils are most happy when couple part...
So a true Muslims will try to stay together as much as they can save their marriage form splitting each other.. and There is an option for the couple who could not go along with the partner.. (For eg : if the husband is dunkard and wife have a chance to give khula (talaq) or if the wife is dunkard and husband can have the option of giving talaq despite several warnings to quit the habit)
WE see compared to other religions, Muslim divorce rate is very less...
I would request the Non Muslims and the ignorant muslims who misuse this divine law to look the answers from the source or please check below video
\Br.imran Answering About Triple Talaq To a Non Muslim Sister\"
Well EXPLAINED .."
I don't know why the other part of women's right in Islam is not highlighted to public....they forgot how sita was left back in the jungle with luv and kush....can we know the reason please.......
If there is rift between couples, if every ways of compromise failed to unite them... is there any other solution other than divorce ? whether he proclaimed thru phone or writing letter or any other valid means , discussion on 'way of talaq' is second option.. discussion on 'condition of couple's relationship' should be first option for discussion...
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