Bavagauthu Raghuram Shetty, the founder of NMC Health and payments group Finablr, said he still intends to return to the UAE to clear his name despite a court in India upholding a ruling this week preventing him from leaving the country.
Mr Shetty, who was originally stopped from boarding a flight to Abu Dhabi from Bengaluru airport in November last year, had appealed against a ruling in February that banned him from leaving the country. However, the initial verdict was upheld. The businessman intends to appeal to the Supreme Court to have this overturned.
"My reaction is only to appeal again to the court to see that I come to the UAE, Abu Dhabi as soon as possible. My heart is there. I'm a son of the soil of Abu Dhabi and I'll come back, with the goodwill and the blessing of the royal family," he told The National.
“I want to clear my name. I have my family there. I don’t want to die with any liability of a bad name.”
Mr Shetty first arrived in the UAE in 1973 and set up NMC Health two years later, which later grew to become the largest privately-owned healthcare operator in the UAE.
The company floated on the London Stock Exchange in 2012 and at its peak in August 2018 was valued at £8.58 billion ($12.05bn). However, a report by short seller Muddy Waters in December 2019 claimed NMC Health had inflated the value of its assets and under-reported its debt.
A subsequent investigation found more than $4.4bn of previously undisclosed debt, leading the company to be placed into administration in April last year. Previously-unreported debt worth more than $1bn was discovered a month later at Finablr, a payments and foreign exchange group majority-owned by Mr Shetty.
Mr Shetty, who has been in India since February last year after returning to visit his brother, who died last March, is facing legal action in a number of jurisdictions from various lenders.
A Dubai International Financial Centre court placed a freezing order on his UAE assets last June following a petition by Credit Europe Bank (Dubai), which says he personally guaranteed an $8 million loan. Abu Dhabi Commercial Bank, which was NMC Health's main lender, secured a worldwide freezing order on the assets of Mr Shetty, other principal shareholders and former directors of NMC Health at a secret hearing in London in December. A subsequent freezing order on UAE assets was awarded to the bank last month. In India, Bank of Baroda has sought to enforce personal guarantees on debts worth more than $250m.
Mr Shetty has persistently denied any wrongdoing. He blamed a group of former executives at his companies for creating bank accounts, raising loans, signing cheques and creating personal guarantees in his name, without his knowledge. He claims his signature was forged on many documents.
A report commissioned last year by Mr Shetty from Dubai-based Wise House Consultancy claimed former NMC Health chief executive Prasanth Manghat, and other executives, transferred millions of dirhams from company accounts into their own accounts. It also claimed some sums were transferred through an account opened at Bank of Baroda in his name, but without his knowledge, to accounts held by executives. The National was unable to reach Mr Manghat for comment.
Bank of Baroda has allegedly instigated the action that is preventing Mr Shetty from leaving India, he said. The businessman said he has requested the bank lifts it.
“We have questioned them … do you want money, or do you want Shetty? They said money, so I said, ‘OK, then why are you object[ing] to allowing me to go?’”.
Bank of Baroda did not immediately respond to a request from The National to comment.
He said his intention is to clear his name, rebuild his business empire and repay any debt that he owes.
“Whatever the money is, is not a matter for me. How I made this $1bn, I will make more now to repay their loans. I will not keep any Dh1 … provided it is my genuine signature,” he said.
“It is [over] 46 years I built the company. You think I can now thieve the company and go? Impossible.”
The White Lotus: Season three
Creator: Mike White
Starring: Walton Goggins, Jason Isaacs, Natasha Rothwell
Rating: 4.5/5
COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
MATCH INFO
Uefa Champions League semi-finals, first leg
Liverpool v Roma
When: April 24, 10.45pm kick-off (UAE)
Where: Anfield, Liverpool
Live: BeIN Sports HD
Second leg: May 2, Stadio Olimpico, Rome
The Sand Castle
Director: Matty Brown
Stars: Nadine Labaki, Ziad Bakri, Zain Al Rafeea, Riman Al Rafeea
Rating: 2.5/5
The years Ramadan fell in May
The years Ramadan fell in May
The specs
Engine: 2.0-litre 4-cyl
Power: 153hp at 6,000rpm
Torque: 200Nm at 4,000rpm
Transmission: 6-speed auto
Price: Dh99,000
On sale: now
THE BIO
Favourite car: Koenigsegg Agera RS or Renault Trezor concept car.
Favourite book: I Am Pilgrim by Terry Hayes or Red Notice by Bill Browder.
Biggest inspiration: My husband Nik. He really got me through a lot with his positivity.
Favourite holiday destination: Being at home in Australia, as I travel all over the world for work. It’s great to just hang out with my husband and family.
