UAE court issues worldwide freezing order on BR Shetty’s assets

News Network
July 25, 2020

Dubai, Jul 25: The founder of NMC Health, BR Shetty, has had a worldwide freezing order placed on his assets at the request of a lender that claims he has defaulted on a loan of more than $8 million (Dh29.4m).

The order was granted to Credit Europe Bank (Dubai) last month ahead of a claim filed at the DIFC Courts against Mr Shetty, New Medical Centre Trading and NMC Healthcare.

The lender said in its claim they “are jointly and severally liable” for the repayment of money initially secured through a credit agreement in December 2013 and renegotiated in December last year. Credit Europe Bank is an Amsterdam-headquartered institution specialising in trade and commodities finance with operations in nine countries.

The credit agreement was guaranteed by two security cheques which the bank said in its claim were signed by Mr Shetty – one drawn on his personal account and another on the account of New Medical Centre Trading – that have been "dishonoured upon presentation due to insufficient funds".

The bank claimed Mr Shetty “has now fled the jurisdiction of the UAE to India” and that there was a risk of his “substantial” assets in the Emirates being dissipated.

The assets frozen include properties in Abu Dhabi and Dubai, as well as shares in NMC Health, Finablr, BRS Investment Holdings and other companies. It allows for up to $7,000 per week to be spent on “ordinary living expenses and reasonable sum[s] on legal advice and representation”, a DIFC Courts document granting the freezing order shows.

Credit Europe Bank declined to comment when contacted by The National, stating it does not comment on ongoing litigation proceedings. Representatives for Mr Shetty and for NMC Healthcare, which is now being run by administrators Alvarez & Marsal, also declined to comment.

NMC Healthcare was founded by Mr Shetty in 1975 and grew from a single hospital into the UAE’s biggest privately-owned healthcare operator, which employed 2,000 doctors and 20,000 other staff. The company was listed on the London stock exchange and at its peak was valued at £8.58 billion (Dh40bn). However, its shares slumped after short seller Muddy Waters Research issued a report in December 2019 alleging the company had inflated its cash balances, overpaid for assets and understated its debts. This led to a string of damaging revelations by the company, including the fact that its debt was materially higher – at $6.6bn – than the $2.1bn on its balance sheet. NMC Healthcare was placed into administration in April by its biggest creditor, Abu Dhabi Commercial Bank, but its UAE businesses continue to trade as a going concern.

Mr Shetty said in a statement issued in April that he has been a victim of fraud committed by "a small group of current and former executives” at companies owned by him. He said bank accounts were created in his name and transactions were made without his knowledge, and that loans, cheques and bank transfers were also fraudulently guaranteed in his name using his forged signature.

In response to the claim filed by Credit Europe Bank (Dubai) at the DIFC Courts, Mr Shetty says he did not personally guarantee loans made to NMC Trading or NMC Healthcare and that the signatures used on cheques guaranteeing the loans are forgeries. His defence cites the opinion of “Dr Al Bah, an independent, experienced and qualified forensic document examiner”, that someone other than Mr Shetty signed the lending agreements and cheques.

An application by NMC Trading and NMC Healthcare to the DIFC Courts to have the claim against it heard in private for fear of triggering claims by other lenders – the group owes money to around 80 local, regional and international lenders – was dismissed, given that the appointment of administrators at the group and allegations of fraud at the company are already in the public domain.

Both companies have indicated to DIFC Courts that they intend to contest the claim against them.

Comments

UAE Muslim
 - 
Sunday, 26 Jul 2020

give money to RSS now to kill muslim....GOD will turn the table for moran like you BR,...shamed of tulu guy cheated the UAE govennment...not root in hell

ANONYMOUS
 - 
Saturday, 25 Jul 2020

amount should be 8 billion dollar and not 8 million dollar

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
February 12,2020

Bengaluru, Feb 12: Mohammed Nalapad, the rogue son of Karnataka Congress leader NA Harris, who is out on bail in a 2018 case of him bashing up a man at a pub, has now rammed his luxury car into vehicles, injuring four people on Bengaluru road.

The incident took place on Sunday on the Ballari Road where Nalapad was rash driving his car. The car hit a biker and an autorickshaw, injuring four people. He immediately got off his car and fled riding a friend's car.

The biker has suffered a fracture in his leg and is undergoing treatment at a hospital.

According to police, soon after the accident a man appeared before police to claim responsibility for the accident.

Ravikante Gowde, Joint Commissioner of Police said, "A man named Balakrishna came to surrender as the one who was driving the car. Investigation has, however, showed that it was Nalapad who was driving when he met with the accident. The investigating officer has issued him a notice to appear before the police."

BJP spokesperson S Prakash has said, "A case under the Goonda Act should be filed against Nalapad and the court should take cognisance of this and cancel his bail. The father has no control over son. He is a serial offender who is harming the public on a repeated basis."

Nalapad was earlier arrested in 2018 in the Bengaluru pub incident in which he and his associate bashed up the son of a prominent businessman in the city. Nalapad Harris is out on bail after remaining in judicial custody for three months in the case of attempt to murder after the 2018 midnight brawl.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
June 5,2020

Udupi, Jun 5: Senior BJP leader and Lok Sabha member Shobha Karandlje accused members of Tablighi Jamaat of spreading Coronavirus, particularly in slums, in Bengaluru.

Speaking to newsmen here Friday night, she said that the members had intentionally spread the virus in Siddique Layout and Padarayanapura. Members had hatched a conspiracy to destroy the country. She would raise the issue with the central government.

She said that New Delhi and Maharashtra were responsible for rising Covid-19 cases in the country. Highlighting the programmes, introduced by Modi-led NDA government for the past six years, she blamed Covid-19 for the collapse of the economy. But for Covid-19 Modi government at the Centre would have been a leader in the world,” she added.

She said 13,541 people, stranded in other States and foreign countries, had returned to Udupi. “We have sufficient beds in the district to tackle the situation. But if more people decide to travel to Udupi, arranging quarantine facilities would be a huge challenge,” she added.

Comments

samy
 - 
Saturday, 6 Jun 2020

Man politics is like a car, in which being stephine has more perks..

Abdullah
 - 
Saturday, 6 Jun 2020

See her how she looks like !

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
May 30,2020

Istanbul: Mosques in Turkey reopened on Friday for mass prayers after more than two months as the government further eased strict restrictions to stop the spread of the new coronavirus.

Turkey has been shifting since May to a "new normal" by easing lockdown measures and opening shopping malls, barbershops and hair salons.

President Recep Tayyip Erdogan has said many other sites -- restaurants and cafes as well as libraries, parks and beaches -- will reopen from Monday.

Hundreds of worshippers wearing protective masks performed mass prayers outside Istanbul's historic Blue Mosque for the first time since mosques were shut down in March.

In the Ottoman-era Fatih mosque, worshippers prayed both inside and outside, with the municipality handing out disinfectants and disposable carpets.

"I have waited a lot for this, I have prayed a lot. I can say it's like a new birth, thanks to God, he has brought us back here," he said.

Another worshipper, Asum Tekif, 50, said: "It has a been a long time... we missed the mosques."

Turkey, a country of 83 million, has so far recorded 4,489 coronavirus-related deaths and 162,120 confirmed cases.

Prayers in Hagia Sophia

Muslim clerics on Friday recited prayers in the Hagia Sophia, the world famous Istanbul landmark which is now a museum after serving as a church and a mosque.

The prayers were held to celebrate the anniversary of the conquest of Constantinople, today's Istanbul, by the Ottomans in 1453.

"It is very important to commemorate the 567th anniversary of the conquest ... through prayers in the Hagia Sophia," said President Recep Tayyip Erdogan, who attended the ceremony via videoconference.

The stunning edifice was first built as a church in the sixth century under the Byzantine Empire as the centrepiece of its capital Constantinople.

After the Ottoman conquest, it was converted into a mosque before being turned into a museum during the rule of Mustafa Kemal Ataturk, the founder of modern Turkey, in the 1930s.

But there have been hints about reconverting the Hagia Sophia into a mosque. Last year, Erdogan himself mooted the possibility of turning Hagia Sofia museum into a mosque.

Such calls have sparked anger among Christians and raised tensions with neighbouring Greece.

In 2015, a Muslim cleric recited the Koran in the Hagia Sophia for the first time in 85 years to mark the opening of an exhibition.

After Friday prayers at the Blue Mosque, a small group of Muslim worshippers shouted: "Let the chains break and let the Hagia Sophia open".

The group was later dispersed by the police who stopped them from protesting near Hagia Sophia that sits immediately opposite the Blue Mosque.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.