SC to Fortis ex-promoters: How do you plan to secure Daiichi's Rs 3,500 crore award?
The Supreme Court on Thursday told former Fortis Healthcare promoters Malvinder and Shivinder Singh to consult with their financial and legal advisers and appraise it on March 28 how they plan to secure Rs 3,500 crore to be paid to Japanese firm Daiichi Sankyo following an arbitral award passed against them by a Singapore tribunal.
Chief Justice of India Ranjan Gogoi asked the brothers to give a concrete plan on how they would comply with the tribunal’s order. “It is not a question of Rs 4,000-5,000 crore. It is a question of honour,” Gogoi said.
The apex court earlier refused to pass any interim order on petitions relating to the sale of controlling stakes of Fortis Healthcare to Malaysian IHH Healthcare Berhad. The top court, on December 14 last year, had ordered status quo with regard to the sale of controlling stakes of Fortis Healthcare.
Daiichi is enforcing the award, won in Singapore in 2016, against the brothers for allegedly concealing information regarding wrongdoing at Ranbaxy when it had bought in 2008.
It had moved the apex court last year to block IHH from completing its deal to acquire up to 57 per cent stake in Fortis Healthcare. While it has already acquired 31.1 per cent stake, the court in December 2018 stalled its offer to acquire the remaining 26 per cent.
Meanwhile, the brothers have also been locked in their own tussle, with each blaming the other for fraudulent transactions and siphoning of funds from Fortis and other companies that they control.