Muristek
New Delhi, May 19
Sebi has imposed penalties totalling Rs 38.75 crore on 32 entities, including Fortis Healthcare Holdings, in a case related to diversion of funds of Fortis Healthcare Ltd (FHL) and misrepresentations to conceal the fraud.
The matter goes way back to 2018 when a media report came out that the promoters of the listed FHL had allegedly taken massive funds out of the listed company. It had also pointed out that Deloitte Haskins amp; Sells LLP, the statutory auditor of FHL, had refused to sign on the company's second quarter results until the funds were accounted for. Subsequently, the regulator had initiated an investigation into the matter to examine possible violation of the provisions of the Prohibition of Fraudulent and Unfair Trade Practices. It conducted a probe into the matter of grant of Inter-Corporate Deposits (ICDs) to three borrower companies — Best Healthcare Private Limited, Fern Healthcare Private Limited, and Modland Wears Private Limited — during FY 2011-2012 till 2017-2018.
Sebi found that a systematic scheme of fraud was devised by the erstwhile promoters of FHL to funnel the resources of a listed company behind the facade of investment through ICDs.