Shivinder Mohan Singh has decided to withdraw his petition at the National Company Law Tribunal (NCLT) against elder brother Malvinder Mohan Singh and Sunil Godhwani, the former chairman and managing director of Religare Enterprises Ltd (REL).
The brothers are former promoters of Fortis Healthcare, REL as well as Ranbaxy Laboratories. RHC Holding is an investment firm controlled by them.
“The mother of petitioner no. 2 (Shivinder) and Respondent no. 2 (Malvinder) has requested both her sons to engage in mediation led by family elders respected by both her sons with a view to them settling inter se issues between them,” stated the application filed at NCLT by Shivinder’s lawyer.
The application added: “Out of respect for their mother, the parties have already started mediation and as per the request of the mediators to constructively progress the mediation, the petitioners wish to withdraw the petition, without prejudice to their rights and contentions.”
On September 5, Shivinder filed a petition against his elder brother and Godhwani citing “oppression and mismanagement” of RHC Holding, as well as Fortis Healthcare and REL.
“The collective, ongoing, actions of Malvinder and Sunil Godhwani led to a systematic undermining of the interest of the companies and their shareholders mentioned… as also the committed and loyal employees of the group,” Shivinder had said in a statement on September 5.
On June 29, Fortis Healthcare said that the Securities and Exchange Board of India (Sebi) has ordered a forensic audit of the company, which admitted to systemic lapses in giving Rs 494.14 crore loans to firms controlled by its erstwhile promoters — the Singh brothers. Deloitte Haskins & Sells LLP, the independent auditor of Fortis Healthcare, on July 7 stated that Fortis’ board of directors is unable to determine at present whether a fraud has occurred in the company or not.
“For two decades now, Malvinder and I, Shivinder Mohan Singh, have been synonymous with one another. Though the fact is, I have all along been the publicly supportive younger brother to Malvinder’s chairmanship of the group, who took decisions on behalf of the family. My focus and passion has always and solely been Fortis Healthcare since its inception… I took public retirement to my Spiritual home, Beas to serve my Master, in 2015; leaving the thriving company I founded in ‘trusted’ hands and in a period of less than two years, it has moved towards disintegration and ruin of a national healthcare asset,” Shivinder said on September 5.