‘Independent’ Jignesh Mevani gives a blow to BJP in Gujarat; wins from Vadgam

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.

Thiruvananthapuram, Mar 28: Kerala Chief Minister Pinarayi Vijayan has sought Prime Minister Narendra Modi's intervention to remove the blocking of roads including state highway along the border of Karnataka in view of lock down to contain the spread of COVID-19.

In a letter sent to the Prime Minister on Friday evening, the Chief Minister said certain actions by the Karnataka Police have resulted in the blocking the Thalassery-Coorg State Highway-30. This road connects Kerala with Coorg in Karnataka via Veerajapettah. This route is a lifeline for flow of essential commodities to Kerala."

"If this is blocked, vehicles carrying essential commodities will have to travel a much longer route to reach our state. Given the situation of national lock down, this will add much more hardship to people," it said.

"You will naturally agree with me that no action impeding the movement of essential commodities should be initiated at this moment of crisis," he hoped.

Bengaluru, Jun 4: Leader of Opposition in Karnataka Siddaramaiah on Thursday said it was not appropriate to reopen schools for two more months, given the current rate at which coronavirus infection is spreading.

He also advised Chief Minister B S Yediyurappa and Primary and Secondary Education Minister Suresh Kumar not to take any hasty decisions in this regard.

"As corona infection is spreading in the state beyond limits, it is not appropriate to open schools for at least two more months. Chief Minister and Suresh Kumar should not make any hasty decisions," Siddaramaiah tweeted.

Stating that Suresh Kumar has placed a proposal to reopen schools in July, he said the chief minister has to take note of worried parents opposing this proposal.

"There are reports about students getting infected by coronavirus after reopening of schools in countries like Britain, France and Italy. It is appropriate to think about reopening schools on analysing the situation after two months," he said in another tweet.

The state government has sought an opinion from parents and stakeholders regarding reopening of schools in the state, with the easing of the COVID-19 lockdown norms.

Amidst worries and concerns expressed by parents across the state, the Education Minister on Wednesday had assured that the government would not take any hasty decisions regarding reopening of schools.

The Union government, in its recent guidelines, had asked state governments to hold consultation at school, college, training and coaching institutions-level with parents and other stakeholders, and based on the feedback, a decision on reopening them would be taken.