Meet Indian billionaire, was once worth Rs 200000000000, now bankrupt after selling Rs 12400 crore company for just Rs 74 due to…

Dubai-based Indian billionaire BR Shetty was once counted among the wealthiest people on the planet, ranking on the Forbes list of India’s 100 Richest People in 2015, and the 42nd richest person in 2019.

Published: August 10, 2025 6:27 PM IST

BR Shetty story: While there are scores of rags to riches stories of people building successful businesses from scratch and earning a large amount of wealth, rarely does one across the opposite of a such a story, where a billionaire tycoon fell into oblivion after bankruptcy and lost a major portion of his fortune.

The downfall of BR Shetty, an Indian-born businessman, who once owned several companies in the United Arab Emirates (UAE), had net worth of over Rs 20,000 crore and lived a life of prime luxury– is one such rare tale which documents the rise and fall of a billionaire tycoon, and shows how one critical error can ruin a man and send him tumbling into the depths of obscurity.

Who is BR Shetty?

Bavaguthu Raghuram Shetty, or BR Shetty as he is popularly known, was born in a middle-income home in Udupi, Madras Presidency, then British India (now Karnataka, India), on August 1, 1942, and was once counted among the wealthiest people on the planet, ranking on the Forbes list of India’s 100 Richest People in 2015, and the 42nd richest person in 2019.

In 1973, at the age of 31, BR Shetty immigrated to Dubai in search of better opportunities, where he started his career as a medical representative, and began selling medicines as a door-to-door salesman.

However, within a brief period, BR Shetty, who had arrived in Dubai with just $8 to his name, developed contacts with several wealthy and influential people in the UAE, and a few years later, established UAE’s first private healthcare provider, New Medical Center Health (NMC), in Dubai.

How BR Shetty established UAE’s first private hospital?

The NMC hospital was managed by Shetty’s wife, Chandrakumari Shetty, who was the only doctor in the clinic, at the time. Today, NMC is the largest private healthcare provider in the UAE with over four million patients annually across 45 facilities spread over 12 cities and 8 countries, including UAE, KSA, Oman, Spain, Italy, Denmark, Colombia, and Brazil.

NMC is also the first healthcare company from the Gulf Cooperation Countries (GCC) and the first company from Abu Dhabi to be listed on the premium segment of the London Stock Exchange and was part of the coveted FTSE 100 Index. However, the firm was de-listed from London Stock Exchange and removed from FTSE 100 index, following a request from its board of directors, and due to the on-going investigation of alleged financial irregularities.

What other businesses did Shetty build?

Apart from NMC, BR Shetty also founded the UAE Exchange, a company dealing in remittance, foreign exchange, and bill payment services. During the late 70s, Shetty observed that Indian expatriates living in UAE faced difficulties in sending money to their families back home in India, and thus landed upon the idea to establish the UAE Exchange, which in 2016, opened 800 offices in 31 countries.

In 2003, BR Shetty founded NMC Neopharma, a UAE-based pharmaceutical manufacturer, which was inaugurated by the then President of India, A. P. J. Abdul Kalam in Abu Dhabi.

What triggered BR Shetty’s downfall?

Over the years, BR Shetty’s wealth ballooned thanks to owing to his diversified and successful business ventures which ranged from health, finance, to real estate, and capital investment. At one point, BR Shetty had a net worth of $3 billion (around Rs 20,000 crore), making him one of the wealthiest men globally.

The Indian-born business tycoon lived a life of opulence, owned private jets and a fleet of Rolls Royce vehicles, and even bought two entire floors in the lavish Burj Khalifa, besides several luxurious villas across Dubai.

However, fate took a cruel turn when in 2019, Muddy Waters Research levelled damning allegations against BR Shetty’s companies. In a post on X (former Twitter), the US-based short-seller posted a report revealing that Shetty’s firm owed a $1billion debt which was kept secret from the company’s investors.

How US short-seller report ruined BR Shetty?

In its report, Muddy Waters Research alleged that Shetty had hid the debt from his investors and defrauded them by exaggerating cash flow figures. Following the allegations, the shares of Shetty’s companies went into freefall, ultimately forcing him sell his Rs 12,478 crore company to the Israel-UAE consortium for just Rs 74.

In 2020, amid investigations, BR Shetty resigned from his board position, and on April 8 that year, NMC Health went into Administration in the United Kingdom due to concerns over corporate governance and a share price in freefall.

In the same month, Abu Dhabi Commercial Bank filed a criminal complaint against NMC Health with the UAE Attorney General’s Office, and days later, the Central Bank of UAE ordered the freezing of Shetty’s bank accounts and the blacklisting of his firms. The embattled businessman is also under investigation in India, with agencies initiating a probe to identify potential risks to Indian banks.

According to reports, Shetty’s current net worth is a minute fraction of his earlier $3.5 billion fortune, consequently leading Forbes to drop him from its annual list of billionaires in 2020.