The Delhi High Court on Tuesday allowed the sale of unencumbered shares in listed companies of former Ranbaxy promoters to repay the Rs 3,500-crore arbitration to Japanese pharma major Daiichi Sankyo.
However, this does not apply to shares held by Malvinder Singh as the Delhi Debt Recovery Tribunal has granted a stay on the sale of his unencumbered assets in a separate case by Yes Bank, which is seeking to recover Rs 565-crore to Oscar Investment for which Malvinder was a guarantor.
The sale proceeds will be deposited with the registrar general of Delhi High Court, who will secure the amount in a fixed deposit.
Brothers Malvinder Singh and Shivinder Singh, the promters of Ranbaxy Laboratories moved a fresh plea in the Delhi High court praying for a stay on its proceedings till the Singapore Court of Appeal, delivers its judgment in an appeal by them against the arbitration award, expected in June.
The ruling had come a day after it was reported that a New York-based investor accused Religare Enterprises promoters Malvinder and Shivinder Singh of "diversion, siphoning and digression of assets" in a lawsuit filed in the Delhi High Court.
The court had upheld the enforceability of the award passed by a Singapore tribunal, which had found the Singh brothers and others guilty of making false claims, and misrepresenting and concealing the “genesis, nature and severity of the US regulatory investigations” into Ranbaxy when Daiichi bought their 34.82-per cent stake for $2.4 billion in 2008.
The court has posted the next date of hearing for 14 May