Shivinder Mohan Singh, former promoter of Fortis Healthcare and Religare Enterprises, has filed for personal insolvency before the National Company Law Tribunal (NCLT) under the Insolvency and Bankruptcy Code (IBC). .The plea came up for hearing briefly before NCLT Delhi today which deferred the hearing. It is now expected to be heard next in May.Once counted among India’s wealthiest businessmen, Singh and his brother Malvinder Singh co-founded Fortis and Religare after selling their controlling stake in Ranbaxy Laboratories to Japan’s Daiichi Sankyo in 2008 for approximately $4.6 billion. However, the deal gave rise to one of the most high-profile corporate disputes in Indian business history.Daiichi Sankyo alleged that the Singh brothers had concealed crucial information regarding Ranbaxy’s regulatory troubles with the US Food and Drug Administration (FDA) and the Department of Justice (DoJ). In 2016, a Singapore-seated arbitral tribunal held the brothers liable for fraudulent misrepresentation and awarded ₹3,500 crore in damages to Daiichi Sankyo.Following the award, enforcement proceedings were initiated in Indian courts. The Delhi High Court directed the Singh brothers to pay the arbitral amount, and several of their personal and corporate assets — including shareholdings in RHC Holding Pvt. Ltd. — were either attached or subjected to recovery actions..In his plea, Singh cited that his liabilities now far exceed the value of available assets. According to the filing, most assets have either been attached or disposed of at significantly reduced value, primarily due to ongoing litigation and enforcement proceedings related to the Daiichi dispute, as well as financial mismanagement within RHC Holding Pvt. Ltd., where he was a corporate guarantor..Section 94 of the IBC allows an individual to file for insolvency if he is unable to pay off the debts and meet the criteria laid out under Chapter III of Part III of the Code. Upon admission, the adjudicating authority may appoint a resolution professional to oversee the process and formulate a repayment plan, subject to creditor approval and judicial sanction.The insolvency filing is intended to initiate a lawful and structured resolution of his debts in accordance with the framework provided under Indian bankruptcy law.
