InvestorQ : What is the recent fortis news all about? Why Singh brothers are arrested?
Jignesh Gupta made post

What is the recent fortis news all about? Why Singh brothers are arrested?

Answer
user profile image
Roshni Hegde answered.
1 year ago


On the account of making default in repayment of Rs400cr ($56mn), Fortis Healthcare requested the Securities and Exchange Board of India (Sebi) to arrest Malvinder and Shivinder Singh. The report stated that Singh brothers had fraudulently taken out.
Fortis Healthcare has said India's market regulator Sebi to initiate legal proceedings against former promoters Singh brothers, to recover Rs 472 crore from them.
Previously against Singh brothers, a legal notice to pay back the money was already issued by the SEBI. This eventually got expired on January 18, 2019.
The petition was filed again on February 13, 2019, by Fortis with SEBI to initiate legal proceedings against ex-promoters and related entities to recover money and for other directions.
Under Section 28 in The Recovery of Debts Due to Banks and Financial Institutions Act, 1993, to recover the amount is been asked by Fortis Healthcare and Fortis Hospitals from Malvinder Mohan Singh, Shivinder Mohan Singh, RHC Holdings Pvt Ltd, Shivi Holdings Pvt Ltd, Malav Holdings Pvt Ltd, Religare Finvest Ltd, Best Healthcare Pvt Ltd, Fern healthcare Pvt Ltd and Modland Wears Pvt Ltd.

Today 26th February 2019Fortis Healthcare Ltd's share price is trading at Rs136.45, which is up by Rs0.5 or 0.37%, from its previous close of Rs135.95 on the BSE. The scrip opened at Rs137 and has touched a high and low of Rs137.70 and Rs134.20, respectively. So far, 2,52,545 (NSE+BSE) shares have been traded on the counter. The current market cap of the company is Rs10,263.57cr. (Source- IndiaInfoline.com)




user profile image
Mahil Khan answered.
1 year ago


On 11th April 2019, As per the Supreme Court stated, Singh brothers Malvinder and Shivinder are almost on the days to get them behind bars. The case proceedings against the two in the $500 million imposed by Japanese pharma maker Daiichi Sankyo.

Due to lack of enough defense from brothers against Daiichi's contempt petition, the court called for next hearing on April 11.
Further, it has asked to send the brothers to jail if found guilty. The proceeding is still pending to conclude.


user profile image
Dia Deshpande answered.
11 months ago


Pharmaceutical giant Ranbaxy's ex-promoters Shivinder Singh and his older brother Malvinder Singh are under arrest in the fraud case of Rs. 740 crore since 10th October 2019. Till last year, the Singh brothers were promoters of financial firm Religare Enterprises and hospital operator Fortis Healthcare.


Earlier before the arrest, Enforcement Directorate had raided the brothers in August 2019. It was evident that they have involved them in Religare Finvest of fraud worth Rs. 740 crore. According to the reports, the Reserve Bank of India and the Securities and Exchange Board of India (Sebi), there have been financial irregularities during independent audits of the company.

Before arresting the investigation of this case went for almost a year. In December 2018, another fraud case was registered by Religare Enterprises and it's subsidiary to the corporate affairs ministry accusing the Singh brothers' company over misappropriation of funds worth ₹2,230 crores.

Another case was filed by Fortis Healthcare with Sebi and the Serious Fraud Investigation Office against the brothers regarding recovery of financial liability of over Rs. 500 crore.