Delhi High Court directs RSSB chief Dhillon, family to undertake Singh brothers dues to Daiichi
New Delhi: Bringing in a third party, the Delhi High Court has directed Radha Soami Satsang Beas (RSSB) chief Gurinder Singh Dhillon and his family along with other 56 entities to pay the recovery amount owed by Malvinder Mohan Singh and Shivinder Mohan Singh (Singh Brothers) to Japanese firm Daiichi Sankyo. According to a recent media report, the court has also ordered to recover the dues from ex Religare chief Sunil Godhwani and brother Sanjay Godhwani, besides, RSSB chief and the Dhillon family including wife Shabnam Dhillon, sons Gurkirat and Gurpreet and daughter-in-law Nayan Tara Dhillon.
The order comes following Malvinder Singh compliance that he can only reimburse $500 million (Rs 3472 crore) arbitration order against them, provided he can recover the money owed to him by RSSB chief and family. Medical Dialogues had earlier reported that the long dispute between the former Fortis Healthcare Ltd promoters, Malvinder Singh and Shivinder Singh had turned dramatic with allegations one after the other. Elder brother Malvinder Singh had alleged that parts of the proceeds from the stake sale in Ranbaxy Laboratories Ltd were used by the spiritual head of Radha Soami Satsang Beas, Gurinder Singh Dhillon to purchase real estate.
The court is reportedly issuing 'garnishee orders' against several Dhillon and RSSB associates' companies, including Prius Real Estate, Addon Realty, Payne Realtors SGGD Projects, Luminous Holding. A garnishee order is an order against a third party to recover money to settle a debt or dues. Garnishee order prevents these entities from alienating any assets. The dues will now be paid to Delhi high court instead of Singh brothers and their entities to whom it is owed.
With the present order issued on June 10, the court has increased the scope of people from whom the money owed by Singh brothers to Daiichi can be recovered to honour the arbitration award.
According to a report in Business Today, Daiichi has enforced an arbitration order in Singapore that directed the Singh brothers to shell out Daiichi $500 million towards alleged non-disclosure of crucial information during the sale of Ranbaxy Laboratories to Daiichi in 2008.
The flow of money from Singh brothers to entities were owned and controlled by RSSB chief, his family and associates. RoC filings and terms sheets say in a span of four years, Rs 1107.5 crore from the Rs 9,576 crore sale proceeds of Ranbaxy to Daiichi Sankyo was paid through RHC group firms RHC Holding Private Limited, Oscar Investment Limited, RHC Finance Private Limited and FHL into two group entities ANR Securities Private Limited and Ranchem Private Limited.
Afterwards, this money was transferred to Prius Real Estate Private Limited controlled by Dhillon family associates and RSSB functionaries through optionally convertible debentures (OCD). The money invested in other Prius group entities called Prius Commercial, Payne Realtors, SVIIT Software and Sharan Hospitality whose preference shares worth Rs 875.53 crore were subscribed to by Prius Real Estate. Both the OCDs and preference shares were to be redeemed between August-November, 2018 at a hefty premium, reports Business Today.
Radha Soami Satsang Beas (RSSB) is an organization dedicated to a process of inner development under the guidance of a spiritual teacher.
Farhat Nasim joined Medical Dialogue an Editor for the Business Section in 2017. She Covers all the updates in the Pharmaceutical field, Policy, Insurance, Business Healthcare, Medical News, Health News, Pharma News, Healthcare and Investment. She is a graduate of St.Xavier’s College Ranchi. She can be contacted at email@example.com Contact no. 011-43720751 To know about our editorial team click here