Though Lilavati Hospital has defended trustee Prabodh Mehta, whose name figures on the list of 15 Indians who have stashed away black money at LGT Bank, Liechtenstein, the issue has only worsened the raging dispute involving various factions of the family fighting for control of the Rs1,000 crore per year revenue-spinner.
Now it has come to light that the trustees of the hospital are using the trust’s money to fund their personal legal battles.
Documents with DNA reveal that the LKM Medical Trust, which runs Lilavati, has paid Rs85 crore to legal eagles to fight various personal cases against the trustees and some for fighting between the trustees in the last eight years.
Between April 1, 2010 and July 31 alone, over Rs26 crore was spent on three legal firms, the documents say.
Soon after a murder attempt on Niket Mehta on July 23, 2010, senior advocate Satish Maneshinde was hired to get anticipatory bail for Chetan Mehta, who was named accused in the complaint.
He was issued a Union Bank of India (a/c no. 22001) cheque for a sum of Rs12,50,000 from the trust. Interestingly, Prabodh got a cheque for Rs15 lakh issued in his own name from the same account.
The last two cheques figure prominently in the complaint made by Niket Mehta to the Charity Commissioner, asking why this should not be used as reason to remove the persons responsible as trustees.
While calls to Prabodh Mehta, his son Chetan Mehta and Rashmi Mehta remained unanswered, the hospital spokesperson has emailed a response saying, “The payment of fees to the advocates have been made from the Trust Fund pursuant to a resolution passed by the Board of Trustees on 29 April, 2008. The said resolution has not been challenged so far.
They sought to challenge the utilisation of Trust Funds for payment of lawyers’ fees in various other proceedings before the city civil court (Suit Number 2444 of 2006) and the joint charity commissioner (application Number 17 of 2006).
However, neither the city civil court nor the joint charity commissioner entertained their contentions,”
Permanent trustee Rajiv Mehta — son of Kishore and Charu Mehta who are also permanent trustees — told DNA, “The trio of Prabodh, Chetan and Rashmi Mehta, who call themselves trustees, knowingly use trust money to fund their personal legal battles to make their grip on the hospital stronger.”
Retired IPS officer and senior legal expert YP Singh told DNA, “The rules are very clear. The expenses for personal reasons cannot be at the cost of the trust. The money is only to be spent on the trust and its functioning.”
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