The Securities and Exchange Board of India (Sebi) has issued a notice to Escorts Heart Institute and Research Center Ltd — a Fortis Healthcare subsidiary — in a case arising from the allegations of fund diversion by the erstwhile promoters.

“Sebi has issued a notice under Rule 4 of Sebi (Procedure for holding inquiry and imposing penalties) Rules, 1995 read with Section 15-I of Sebi Act, 1992 in the matter of Fortis Healthcare Ltd to, among others, Escorts Heart Institute and Research Center Ltd (EHIRCL),” Fortis Healthcare said in a regulatory filing on Friday. Fortis Healthcare added that this notice was received on Friday.

“The management and board of the company that was newly constituted after NTK Ventures Pte Ltd (a wholly-owned subsidiary of IHH Healthcare Berhad) became promoters of the company, are evaluating the notice received by EHIRCL, in consultation with its legal advisors,” Fortis Healthcare added.