Best printers for Home

Best Mixer Grinder

Best wired Earphones

Best 43 Inch TV in India

Best Wi Fi Routers

Best Home Theatre in India

Smart Watch under 5000

Best Laptops for Education

Best Laptop for Students

Years after his dream airlines grounded to a halt, the liquor baron, <keyword id="14678" type="PERSON" weightage="20" keywordseo="Vijay-Mallya">Vijay Mallya</keyword> seems to be in a soup, once again. And this time the seriousness level has bumpered higher. A news report by The Economic Times has confirmed, after a <keyword id="66728" type="CITY" weightage="20" keywordseo="PricewaterhouseCoopers">PricewaterhouseCoopers</keyword> (PwC) forensic audit into the company's books found "impropriety and violations in the records of <keyword id="160498" type="COMPANY" weightage="20" keywordseo="United-Spirits-Limited">United Spirits Limited</keyword> (USL), the country's biggest distiller, Vijay Mallya’s position as the position of chairman is at stake. 
 USL on Monday is likely to submit three reports to its parent Diageo, requesting the British liquor giant to review their contractual obligations and vote against Mallya in the next EGM and seek his ouster as the company's <keyword id="177384" type="POSITION" weightage="20" keywordseo="non-executive-chairman">non-executive Chairman</keyword>. 
 As per the ET report, the first report is an audit by <keyword id="50041" type="CITY" weightage="20" keywordseo="KPMG">KPMG</keyword> which first raised doubts over intra-company transactions and advances of roughly Rs2000 crore when Diageo launched an investigation last September after its auditors raised questions about various allegedly suspicious financial transactions while auditing USL's books for the year ended March 31, 2014. 
 USL will also <keyword id="53005" type="POSITION" weightage="20" keywordseo="Forward">forward</keyword> the most recent report from PwC whose findings precipitated the crisis. After receiving the report USL's board asked Mallya to resign following an emergency meeting on Saturday. 
 In addition, USL's <keyword id="24973" type="POSITION" weightage="20" keywordseo="managing-director">managing director</keyword> Anand Kripalu will also send his own report that includes details from both the KPMG and PWC reports as well as his own findings and observations, along with views of otside legal counsels. 
 The ET report furrther states, after receiving these reports from the USL board, Diageo will investigate the matter on its own following which it will decide to vote for or against Mallya's removal. Diageo will also reach out to Mallya to obtain his version of events. The ten member USL board currently has three Diageo representatives including Nicholas Blazquez and <keyword id="2541716" type="PERSON" weightage="20" keywordseo="Ravi-Rajagopal">Ravi Rajagopal</keyword>. Mallya represents <keyword id="7229" type="CITY" weightage="20" keywordseo="UB-Group">UB Group</keyword> with a sole representative on the board -- he himself. 
 
Sources confirmed the ET, as per the share purchase agreement between them, Diageo is supposed to vote along with Mallya over his tenure of his chairmanship tenure. No time line has been specified for this obligation. However, in case of any defaults, Diageo can vote against him. On the other hand, Mallya is supposed to vote in favor of Diageo on most strategic issues for a period five years. 
 
 
Diageo in 2012 acquired USL for 1.8 billion pounds. Currently it owns nearly 55% of USL. After almost two years of on-off negotiations, Diageo only last year strengthened its grip over the company after an open offer that allowed it to hike its stake from the earlier 28%. 
 
Confronting to the chain of events, Mallya said the turn of events was "surprising and unexpected" and pointed out that Diageo had carried out a lengthy due-diligence on USL before buying into it. 
 
"I have certain contractual arrangements with Diageo and will now discuss bilaterally with them what is to be done next. The board of Directors cannot remove a director, only shareholders can remove a director," Mallya told ET adding that Diageo carried a four month due-diligence and issues that are raised now are of 2011 period. "After that, books of accounts at USL has been audited and approved by the board of directors and shareholders of USL. So the matter to suddenly surface now is surprise. What has happened is totally surprising and unexpected," Mallya said. 
 A PwC spokesperson has confirmed the financial daily, "The report being referred to has been done by our forensics team for Diageo. We stand by the work done and believe it to be of the highest professional standards." The USL board has also asked the company to report the latest PwC findings to the regulators. <keyword id="6357264" type="ORGANIZATION" weightage="20" keywordseo="capital-market">Capital market</keyword> regulator Sebi is likely to be approached along with the ministry of company affairs. It is still not clear if criminal charges will also be pressed against Mallya by USL. 
 
Saturday proved to be rough for Mallya, as the USL board cited 'lost confidence' in Mallya while asking him to resign without making any determination as to fault or culpability after PWC report corroborated the earlier investigation of financial irregularities at the company. 
 
(Image: India Times)

United Spirits fires Vijay
Mallya as its Chairman, now officially the ‘king of bad times’

New Delhi, Feb 14 () Fortis Healthcare on Friday reported narrowing of its consolidated net loss to Rs 69.32 crore for the quarter ended December 31, 2019, mainly on account of robust performance in its hospital business. The company had posted a net loss of Rs 180.11 crore for the corresponding period of the previous financial year, Fortis Healthcare said in a filing to the BSE. Its consolidated revenue from operations stood at Rs 1,168.92 crore for the quarter under consideration. It was Rs 1,103.27 crore for the same period a year ago. The third quarter of 2019-20 continues to witness earnings growth with margin expansion in the hospitals business. Hospital business revenues stood at Rs 953.5 crore, a growth of 7.3 per cent. Hospital business contributes around 80 per cent to overall revenues and Ebitda, Fortis Healthcare said. The diagnostic business gross revenue was Rs 249.4 crore as against Rs 242.6 crore, a growth of 2.8 per cent. This was impacted by the abnormally severe winter in north and central India especially in the month of December, it added. Net debt-to-equity ratio stood at 0.17 times. Net debt was Rs 1,237 crore in the quarter, Fortis Healthcare said. "The Q3 results are the third successive quarter of an improved earnings performance specifically from the hospital business," Fortis Healthcare Board of Directors Chairman Ravi Rajagopal said. While the diagnostics business has shown a stable performance, the company is cognisant of the inherent potential that this business offers, he added. In a similar vein, Fortis Healthcare MD and CEO Ashutosh Raghuvanshi said, "I am pleased with our hospital business operations having progressively improved over successive quarters as reflected in the continuous margin expansion being witnessed." The company continues to focus on the key expense line items across the network in order to ensure that "we run a leaner organisation and our balance sheet remains robust with low gearing and a more efficient working capital cycle", he added. Shares of Fortis Healthcare on Friday closed at Rs 156.05 per scrip on the BSE, down 0.95 per cent from its previous close. AKT HRS

You Searched For "Ravi Rajagopal" and got 2 results

United Spirits fires Vijay Mallya as its Chairman, now officially the ‘king of bad times’

BI India Bureau

Fortis Q3 net loss narrows to Rs 69.32 cr

PTI

Popular Keywords

Buying Guides