Delhi HC directs Ranbaxy to file list of assets within 6 weeks
Published: Aug 23, 2016
By TIOLCORP News Service
NEW DELHI, AUG 23, 2016: DIRECTORS and promoters of Indian pharmaceutical company Ranbaxy were granted six weeks Monday to file detailed affidavits with complete lists of their assets before the Delhi High Court.
The bench of Justice Manmohan Singh allowed this after senior advocate Harish Salve, appearing for Ranbaxy promoter Malvinder Singh and other directors/promoters, said that the balance sheet of the company for 2015 was ready but the 2016 balance sheet would take more time.
Daiichi Sankyo, which purchased Ranbaxy from its promoters in 2008, had moved the Delhi High Court earlier this year to enforce the award issued by a court of arbitration in Singapore which had directed Ranbaxy promoters - brothers Malvinder and Shivinder Singh and other members of the family - to pay over Rs 3,000 crore to Daiichi for alleged fraud.
During arguments on its plea for enforcement of the arbitration award, senior advocate Arvind Nigam, appearing on behalf of Daiichi Sankyo, alleged that promoters and directors of the Indian firm were “selling off” assets despite court orders. “They have alienated the assets to third parties outside the respondents even after the last order,” Nigam told the court. The High Court had on July 25 directed all directors/promoters in the plea to disclose their full assets and to not alienate or sell them off.
Meanwhile, objections were raised by Counsel appearing for Ranbaxy against disclosing the list of assets in the public domain. The lawyers requested the court for the information provided to be placed in sealed cover to prevent it from “being leaked”. The bench has directed that all documents, including a letter from Ranbaxy, in which it had disclosed details of immovable assets and assured Daiichi that none of the assets will be alienated, should be kept in sealed cover in the court's custody.
The matter will now be heard on November 28.
