Singh brothers in blame game over Fortis mess
NEW DELHI: Serious differences have emerged between brothers Malvinder and Shivinder Singh, two former promoters of Fortis Healthcare Ltd, with younger sibling Shivinder at pains to distance himself from the alleged irregularities and decisions taken in the past two years at the hospital chain.
Shivinder Singh, a former executive vice-chairman of Fortis, claimed that he was not in a position of authority when Fortis gave unsecured advances worth ₹445 crore to three companies affiliated to the Singh brothers. Malvinder Singh, who stepped down as executive vicechairman in February, countered by saying that all decisions were taken collectively.
The allegations and counterallegations have surfaced after government agencies opened a probe against the brothers following an internal investigation by law firm Luthra and Luthra found mismanagement of funds. The latest development has put the once close relationship between the two brothers to the test.
Shivinder maintained that he had retired and had left for Radha Soami Satsang Beas, a spiritual organization, December 2015. “Post retirement, I continued as a shareholder of the group. My role in Fortis was that of a non-executive board mem- ber effective January 2016 till I resigned from the board in February 2018,” he said in an interview.
“I had no role in Religare since I stepped off the board in 2010. I got back on the board of Religare in July 2016 when certain mismanagement came to light,” he added.
Malvinder reiterated that all decisions at Fortis were approved by designated signatories and alleged that parties with vested interests are being vindictive towards the former Fortis promoters.
“While we await the Luthra & Luthra report from Fortis Healthcare, (I) would like to mention that there has been no mismanagement or misuse of funds and position. Treasury operations has been a profitable part of the Fortis business for the past many years. All decisions on ICDs (inter-corporate deposits), which were part of the treasury operations, were collectively taken by the respective decision-making bodies at Fortis after deliberations. Presently, there is a vindictive approach from parties with vested interest towards the former Fortis promoters in these challenging times,” Malvinder Singh said in an interview.