Viral infection claims lives of 2 NRI school girls in UAE in 2 weeks

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.

Bengaluru, Mar 4: With the number of Coronavirus positive cases in India increasing, health department officials in Karnataka are working round the clock to keep citizens safe.

But citizens are already panicking with 97 people in Bengaluru rushing to the government-run Rajiv Gandhi Institute for Chest Diseases (RGICD) on Tuesday with symptoms matching the coronavirus.

Karnataka Chief Minister BS Yediyurappa has now appealed for calm saying there is no coronavirus in the state.

"There is a difference in what appears in the media and what is on the ground. No need to panic. PM Modi is also looking into this. My health minister addressed the media and no one needs to panic. We are ready to tackle the situation," he added.

Dr. Nagaraj, director of RGICD, said the screening process began at the hospital on January 22 and they would see some 15-20 patients and take 5-6 swabs.

"Because of apprehensions, we saw 978 patients and took 27 swabs. We have also admitted 4 patients in the isolation ward," he added.

As of today, there are 5 patients admitted in the isolation ward of RGICD. Two came in close contact with the infected techie in Telengana and three foreign nationals from Japan, Saudi Arabia, and Iran.

Tech parks on high alert

At the Manyata Tech Park in the city, a company sent out a circular regarding one of their associates who had travelled from a Level 3 country to India and had flu-like symptoms.

It says that the associate was advised to receive necessary screening and observation as mandated by the Karnataka State Health Department. The associate was screened by an authorized medical agency and determined to be asymptomatic.

As of Wednesday, the company located in the G3 campus of Manyata Tech Park has begun disinfecting and sanitizing the work location and all associates working out of this location have been advised to work from home until March 6.

A statement issued by Embassy spokesperson on March 4 to India Today TV indicated the authorities have activated their response plan.

"As of March 4, we are not aware of a single positive case for the virus in more than 2,00,000 people who work in our business parks. We do understand that one employee of a company at one of our parks who had travelled from a Level 3 country was screened in the last 36 hours and determined to be asymptomatic.

As a precaution, the premises are being disinfected and sanitized. The fact remains, we are not aware of a single confirmed case within over 15 business parks across India," the statement said.

Bengaluru, April 5: Karnataka Chief Minister BS Yediyurappa on Sunday urged the people to follow the countrywide lockdown strictly amid the rise of COVID-19 cases on Sunday, and said that he has been receiving complaints of people violating the restrictions.

"Everyone knows the damage caused by the COVID- 19 infection around the world. Prime Minister Narendra Modi has announced a nationwide lockdown till April 14 for the protection of people's lives. Even in our state, Bidar, Mysore, Mangalore, Bengaluru and Kalaburagi districts have witnessed a rise in the coronavirus cases day by day," Yediyurappa said.

"The government has taken a number of precautionary measures to control the spread of coronavirus including the closure of borders for public, restrictions on publicly trafficked areas and religious places. The people of the state have to strictly follow the lockdown mandate," he added.

"I have received a lot of complaints about lockdown not being followed effectively. Please remember that the key to ending the lockdown is in your hands. Only you can break the chain by strictly adhering to the restrictions," the CM tweeted.

Earlier on Saturday, 16 people tested positive for coronavirus in Karnataka, taking the total number of cases to 144 in the state.

The total number of COVID-19 positive cases rose to 3,374 in India on Sunday, as per the data provided the Union Ministry of Health and Family Welfare.