An American investor has filed a second request for a court injunction to stop the transfer of St Luke's, Karin Grech and Gozo Hospitals from Vitals Global Healthcare to Steward Healthcare.
The request was filed barely a week after similar action was withdrawn.
Back in 2014, Ashok Rattehalli had formed part of the group of technical, administrative and financial consultants who had proposed that the management and administration of the hospitals be entrusted to Bluestone Investments Ltd. parent company of Vitals.
VGH took the concession for the hospitals on November 30, 2015.
Mr Rattehalli said that as a member of the management team, also serving on the medical board, he was entitled to 5% of the shares in Vitals Global Healthcare, which offer for the purchase or transfer of the shares was never forthcoming.
Upon learning that the company was going to be sold to third parties, he had requested a provisional warrant of prohibitory injunction claiming that his rights would be prejudiced by the transfer, since VGH would no longer be in a position to honour its obligations under the agreement.
After being approached by representatives of Bluestone Investments and VGH and ‘promised’ that his rights would be honoured, Mr Rattehalli said he had ‘in good faith’ withdrawn his earlier warrant so as not to prejudice any negotiations between VGH and third parties.
Yet, he said, in spite of acting in good faith, neither Bluestone Investments nor VGH had offered him any ‘substantive guarantee’ that his rights would be honoured. Worse still, once VGH was transferred to third parties, the latter would have no contractual relationship with him, and he would be denied a legal remedy.
For this reason, Mr Rattehalli filed a fresh request for a warrant of prohibitory injunction against VGH and Bluestone Investments requesting the First Hall, Civil Court to prevent the companies from entering into any transfer agreement with third parties which would prejudice his interests.
Lawyer Peter Fenech signed the application.