Dubai Court Holds BR Shetty Personally Liable for Bank of Baroda Debt
BR Shetty, founder of the collapsed UAE healthcare company NMC Health, has been ordered by a Dubai court to pay over $33 million to an Indian bank. The ruling, issued by the Dubai International Financial Centre (DIFC) Courts in November last year but made public only recently, found Shetty personally liable for the debt owed to Bank of Baroda, a state-owned Indian financial institution, reported agbi.com.
Legal Costs and Interest Added to Ruling
The court has also finalized legal costs, requiring Shetty to pay an additional $344,000, with interest accruing if not settled within 14 days. The case is part of ongoing legal proceedings following NMC Health’s dramatic collapse in 2020, which exposed over $6.6 billion in hidden debt across 75 debt facilities involving more than 80 financial institutions.
Potential Acquisition Falls Through
In December, sources revealed that PureHealth Holding, the UAE’s largest healthcare group, was in discussions to acquire NMC Health. However, according to Bloomberg, PureHealth—backed by Abu Dhabi sovereign wealth fund ADQ—has since abandoned the deal.
The Aftermath of NMC Health’s Collapse
Once the UAE’s largest private healthcare provider, NMC Health was placed into administration in 2020, triggering lawsuits and regulatory probes across the UAE, India, and the UK. Shetty, previously one of the most prominent businessmen in the UAE, has denied any wrongdoing, asserting that he was a victim of fraud within NMC.
The company, which operates 85 medical facilities across the UAE, successfully emerged from administration in 2022 after a $4 billion debt restructuring led by Abu Dhabi Commercial Bank.
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