Fortis eases out Trehan from Escorts; Doc says ‘what nonsense’

Fortis eases out Trehan from Escorts; Doc says ‘what nonsense’
PTI
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First Published: Fri, May 18 2007. 08 27 PM IST
Updated: Fri, May 18 2007. 08 27 PM IST
New Delhi: In a piquant situation, Fortis Healthcare on 18 May said Naresh Trehan has relinquished office as executive director of Escorts Heart Institute and Research Centre, but the noted cardiologist dismissed the announcement as “nonsense”.
Shivinder Mohan Singh, managing director of Fortis, which acquired 90% stake in Escorts in 2005 for Rs585 crore, lauded the role played by Trehan in shaping up EHIRC and wished him luck for his Medicity project in Gurgaon.
Reacting sharply, Trehan, who holds 10% in EHIRC, debunked Singh’s announcement saying he had neither quit nor had the Fortis management talked to him before making any such announcement, a claim contested by Fortis officials.
“What nonsense, I’m not going to quit, I’ve my patients to attend to,” Trehan told PTI.
A statement by Fortis said: “He (Trehan) now leaves EHIRC to concentrate on his (Medicity) venture. He continues to be a 10% shareholder in EHIRC.”
However, it was not clear if Fortis would follow up easing out of Trehan by an attempt to buy his 10% stake with Shivinder Mohan Singh group’s officials declining to comment on the subject.
Trehan’s controversial exit, sealed by ‘determination of his contract’ was due to ‘clash of interest’ as sources in Fortis pointed out that he could not take the pay and perks from EHIRC while pursuing Medicity business.
Singh had briefed the cardiologist of the move before the announcement was made, they added.
Asked about the reason Fortis attributed for his “resignation” — purportedly for pursuing his interest in Medicity, Trehan retorted: “You ask them. As far as I am concerned. I have not quit.”
The Fortis statement said over the past 18 months, Trehan has been increasingly focusing on his personally promoted project, the ambitious and challenging Rs1,000 crore Medicity at Gurgaon.
“We wish him well, recognising his role in nurturing EHIRC to a level where its Clinical Programmes continue to function independently, carrying on and building up on the legacy of the past years,” Singh said.
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First Published: Fri, May 18 2007. 08 27 PM IST
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