New Delhi: The Delhi high court on Tuesday ordered the sale of unencumbered listed shares owned by former Ranbaxy promoter Shivinder Singh and others in connection with the recovery of a Rs3,500 crore arbitration award in favour of Japanese drugmaker Daiichi Sankyo Co. Ltd.
The proceeds of sale would be deposited with the registrar general of Delhi high court, who would secure the amount in a fixed deposit.
No sale of unencumbered listed shares held by the co-promoter of Ranbaxy, Malvinder Singh, was ordered at this stage because of a stay imposed on the sale of his assets by the Delhi Debt Recovery Tribunal in a separate dispute with Yes Bank in February.
Notice was issued to Yes Bank by the court seeking its response.
The Singh brothers and others also sought a stay on the ongoing execution proceeding in light of a challenge to the arbitration award before a Singapore court, which is expected to deliver its judgement in June.
On 31 January, Delhi high 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 in a self-assessment report, and of misrepresenting and concealing the “genesis, nature and severity of the US regulatory investigations” into Ranbaxy when Daiichi bought their 34.82% stake for $2.4 billion in 2008.
The deal value was $4.6 billion.
On 23 March, the high court had attached all moveable property disclosed in an affidavit by the Singh brothers and others.
Earlier, on 26 February, all assets disclosed by Oscar Investments Ltd and RHC Holding Pvt. Ltd, owned by the Singh brothers, were attached by an order of the high court.
The matter would be next heard on 14 May.