B.R. Shetty Levels Serious Allegations Against Bank of Baroda

Bank of Baroda, one of India’s largest public sector banks, is facing a major legal dispute after businessman B.R. Shetty, founder of NMC Healthcare and UAE Exchange, reportedly filed a ₹1.45 lakh crore compensation claim against the bank in the Bombay High Court. The development triggered concern in the stock market, with the bank’s shares falling around 3% during Wednesday morning trading, making it the top loser in the Nifty 100 index. Shetty has alleged that the bank played a role in financial irregularities involving his group companies.

In his petition, Shetty has reportedly sought $15 billion in damages, citing direct financial losses, lost business opportunities and reputational harm, along with 18% annual interest. He has also alleged that funds were diverted through fraudulent supplier accounts, money-laundering warnings were ignored and forged personal guarantees were used to obtain loans in his name. Bank of Baroda has denied the allegations and said it has not yet received any official court notice or summons. The bank stated that it would strongly defend its interests if notices were served. It also said Shetty owes it around ₹2,800 crore and that recovery proceedings are underway in India and the UAE. The bank maintains that the compensation claim is only a demand and not an established liability.