Sebi has ordered a forensic audit of the company: Fortis

Fortis Healthcare today said markets regulator Sebi has ordered a forensic audit in the matter of the company, which has admitted to systemic lapses in giving Rs 494.14-crore loans to firms controlled by erstwhile promoters -- Singh brothers.

In a regulatory filing, Fortis said in February it had received a communication from the Securities and Exchange Board of India (Sebi) confirming that an investigation has been instituted against the company.

"The company has already submitted requisite responses to the same. We also confirm that in terms of the said investigation, Sebi has ordered a forensic audit in the matter of the company," the filing added.

The cash-strapped healthcare chain further said on March 3 it had also received a communication from the SFIO, seeking information and documents.

"The company has already submitted its responses to the said notice and continues to cooperate with the SFIO in relation to their information requests," it added.

Fortis, however, stated that it wasn't aware about the findings of the SFIO in the matter.

The company had said on June 27 that it had initiated legal action to recover about Rs 500 crore of funds allegedly taken out of the company by its founders Malvinder and Shivinder Singh after an external investigation found "systemic lapses and override of controls" in the loan given.

The loans were given to its founders without board approval and enough collaterals, it added.