Delhi High Court orders forensic audit of Singh brothers' assets in Daiichi dispute

The Delhi High Court has ordered a detailed forensic audit of the assets and financial dealings of the Singh brothers, the former promoters of Fortis Healthcare, as part of proceedings to enforce an arbitral award in favour of Japanese pharmaceutical major Daiichi Sankyo. The audit, to be completed within six months, will examine the movement of Fortis shares, funds and transactions involving the Singh brothers, various banks, Malaysian healthcare conglomerate IHH Healthcare and RHT Health Trust, among other entities and parties.

The order comes as Daiichi Sankyo seeks to recover funds following a dispute with Fortis Healthcare. The company had previously secured an arbitral award against Fortis, and the audit is intended to assist in identifying and tracing assets that could be attached or realised to satisfy the award.

The forensic investigation will provide detailed documentation of financial flows and asset movements across multiple entities and institutions connected to the Singh brothers. This step is expected to facilitate the enforcement process and ensure clarity on the location and status of assets that may be subject to recovery proceedings.

The Singh brothers, who founded Fortis Healthcare, have faced multiple legal challenges in recent years related to corporate governance, financial management and regulatory compliance issues at the hospital chain. The Daiichi Sankyo dispute represents one of the significant legal matters pending against them in Indian courts.