The National Company Law Tribunal (NCLT) on Friday allowed former Fortis Healthcare promoter Shivinder Singh to withdraw his petition against elder brother Malvinder Singh and ex-Religare chief Sunil Godhwani. However, a counsel for Religare Enterprises, which was also a respondent in the case, said there were allegations against the company of siphoning off of funds by the Singh brothers. “We want to recover that amount from them,” said senior counsel Abhinav Vashistha appearing for Religare. On this, the NCLT said, “If you wish to initiate any proceedings, move a separate application.” “The NCLT on Friday granted my request to withdraw the petition of oppression and mismanagement I had filed against my brother Malvinder, and Godhwani,” Shivinder Singh said in a statement.
“I am indebted to the Court for accepting my request,” he said. “The request to withdraw was made after repeated urging by my mother and family that Malvinder and I participate in mediation as a final attempt to resolve amicably the inter se issues between us,” he added. “I did so because my primary goal remains to address and resolve the group’s issues through constructive and transparent engagement with Daiichi Sankyo and our other creditors. It is clear that my brother and I cannot do so together,” he said. “To that end, I intend to use the mediation process to get to a critical decision. Namely, whether my brother or I take full responsibility for resolving the group’s issues with Daiichi Sankyo and other lenders.”
As reported earlier, he added that in the event mediation fails, he intend to reassess and start fresh action if that is what it takes to address all issues. Shivinder Singh had moved the NCLT against his brother on September 4 requesting that he be removed from the board of RHC Holdings because of blatant acts of mismanagement by him and that the board be reconstituted.
The NCLT had on September 6 issued notices to Malvinder Singh, Godhwani and others, and directed them to maintain status quo over the shareholding and composition of the RHC Holdings board till it decides on Shivinder Singh’s plea. Shivinder Singh had alleged illegal and unlawful manipulation of records of RHC Holdings including the forging of signature of his wife Aditi Singh.
He had requested the tribunal to allow him or his authorised representatives to inspect the statutory records of RHC Holdings and take copies of them and to restrain his elder brother from transferring, selling, alienating or creating any third-party rights or interests over the assets of RHC Holdings. The NCLT had asked the parties to maintain status quo till it disposed of the matter. However, on September 13 Shivinder Singh moved an application seeking permission to withdraw his petition.