Fortis case: Sebi slaps Rs 24 cr penalties on Singh brothers, 7 entities

Markets regulator Sebi on Tuesday imposed penalties totalling Rs 24 crore on nine entities, including businessmen Malvinder Mohan Singh and Shivinder Mohan Singh, in connection with violations in the Fortis Healthcare matter.

Passing a 109-page final order, the watchdog has slapped a fine of Rs 5 crore each on the two Singh brothers besides Rs 2.5 crore on RHC Holding Pvt Ltd.

A penalty of Rs 1 crore has been imposed on Fortis Healthcare and Rs 50 lakh on Fortis Hospitals. Others who have been penalised are Malav Holdings Pvt Ltd (Rs 2.5 crore), Shivi Holdings Pvt Ltd (Rs 2.5 crore), Gagandeep Singh Bedi (Rs 2.5 crore) and Bhavdeep Singh (Rs 2.5 crore).

In October 2018, Sebi had directed Fortis Healthcare Ltd (FHL) to take necessary steps to recover Rs 403 crore along with interest from the Singh brothers and various other entities.

Sebi on Tuesday barred the Singh brothers from the securities market for a period of three years. They have also been restrained from being associated as a director or Key Managerial Personnel in a listed company or an intermediary registered with Sebi of any Market Infrastructure Institution.

Besides, RHC Holding Pvt Ltd, Malav Holdings Pvt Ltd, Shivi Holdings Pvt Ltd, Gagandeep Singh Bedi and Bhavdeep Singh have been banned for a two-year period.