Not in a position to fight BJP alone; will join hands with others in LS polls: Karnataka Cong chief

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.

Kasaragod, Jan 3: A serving officer of the Central Intelligence Bureau (CIB) was found dead inside his car in Bekal town near here early on Friday.

Police sources said the officer, Rijo Francis (35) has been under treatment after he had an heart attack last year.

Police suspect that the death could be due to heart failure.

Bengaluru, Mar 22: People here stayed at their homes due to Janata Curfew on Sunday amid the coronavirus scare.

Prime Minister Narendra Modi had on Thursday urged people to stay at their homes as a precautionary measure against the spread of coronavirus.

"In such difficult times, all Indians are supporting the cause. We accept and obey the Prime Minister's orders wholeheartedly as it is about how we protect ourselves and keep our children safe from this disease," said Shashikant Varma, a resident of Bengaluru.

"We hope the situation gets better at earliest and everyone gets rid of the virus," Varma added.
"All the shops have been closed.Everyone is at their homes to avoid getting infected from this deadly virus," said Harish Niwasi, another resident.

"Today is PMs Janata Curfew and so we all are at home. I appeal to all that by staying at home we can save each other from the deadly virus. We thank the PM for guiding us at such difficult times," said Tulsi Ram Varma.

The Janata curfew which began at 7 am today will come to an end at 9 pm.

Till now, the total number of positive coronavirus cases in Karnataka is 15 out of which one person has been cured and one death has taken place in the state, according to the Health Ministry.

The Karanataka Health Department on Saturday confirmed five new coronavirus cases in the state, taking the total count to 20.

According to the Indian Council of Medical Research (ICMR), till now there are 341 positive cases of coronavirus in the country.