|  |  | 

India Top Headlines

BR Shetty Networth: BR Shetty, the richest Kannadiga, in trouble | Mangaluru News


MANGALURU: BR Shetty, the richest Kannadiga in the world with an estimated net worth of $ 1.6 billion, is in trouble. Shares of its flagship company, NMC Health, based in Abu Dhabi, have fallen 70% since mid-December, following accusations by a US investment company that NMC made a possible overpayment for assets, inflated cash balances and underestimated debt.

The Bloomberg news agency reports that Shetty resigned as co-chair of the company on February 17, after the board demanded that he do so. “NMC has lost four board members since Friday, including Vice President Khaleefa Butti, whose shares are also being investigated,” the agency said.

Carson Block, founder of Muddy Waters, the investment firm that filed the charges, said in a tweet: “The property and engagement debacle is a symptom of systemic rot and corruption in NMC.”

Shetty himself appointed former FBI director to investigate the scandal

A source close to BR Shetty said Karnataka’s employer had appointed a former FBI director to investigate allegations of financial irregularities against NMC. He alleged that Muddy Waters had filed similar and unfounded charges against other companies, including Tesla. He said that Shetty had resigned from the management only to ensure a fair investigation.

“In fact, Shetty was not in active management for the past four years and focused on her adventures in India. Prashant Mangat, the current CEO, was handling the issues, “the source said, adding that the hospital chain was profitable. Shetty, when contacted by TOI, said she was in good health, but declined to comment.

Shetty undertook a 1,000-mile trip from Udupi to the UAE in 1973, to pay off a debt that transformed him from a medical representative to a billionaire, owning one of the UAE’s largest hospital chains, NMC Health. The debt was a small loan taken from KK Pai, former president and managing director of Syndicate Bank, to marry his sister. Shetty owns two elegant pads in Burj Khalifa, has a private jet and a collection of vintage cars.

Reference page