Fortis' co-founder Shivinder Singh sues elder brother, snaps business ties
What's the story
Co-Founder of Fortis Healthcare, Shivinder Mohan Singh filed a lawsuit against his elder brother Malvinder Mohan Singh on Tuesday on grounds of "oppression and mismanagement" in their joint businesses: RHC Holding, Religare and Fortis. He severed all business ties with him. Further, former Religare chief Sunil Godhwani was also named in the lawsuit filed in National Company Law Tribunal (NCLT). Here are the details.
The fued
Feud goes public: Shivinder claims brother's actions undermined company's interests
Shivinder said this decision was long overdue, but got delayed since he thought 'better sense will prevail'. He claimed the actions of Malvinder and Sunil undermined the interests of the company and its shareholders. "I have filed a case against Malvinder and Sunil Godhwani in the NCLT for oppression and mismanagement of RHC Holding, Religare and Fortis," Shivinder said confirming the news.
Reasons
Have served Fortis for two decades, says Shivinder in long-letter
Shivinder wrote a long letter explaining the reasons behind the decision. He wrote, "The concept of helping people in need and walking the talk of Fortis' vision: "saving and enriching lives" has been the hallmark, as I served Fortis for almost two decades." Further, Shivinder wrote red flags crept into the group with 'disturbing regularity'. He claimed he couldn't turn a blind eye anymore.
Details
Tried my best to salvage the situation, writes Shivinder
Further, Shivinder wrote he became a silent spectator even when his family and he were stripped of 'our legacy'. His personal credibility was questioned. He wrote he tried his best to salvage the situation, upon his return from Beas. "The continued systemic missteps resulted in a quicksand which now seems beyond resolution if I continue to remain silent," the letter added.
Quote
In letter, Shivinder wishes best for brother Malvinder
"I wish Malvinder well; I can no longer be party to activities in which transparency and ethics are continuously and consistently negated. It has come to a point where this means that I am now disassociating from my brother as a business partner," wrote Shivinder.