Nawaloka Hospitals, one of the pioneer private hospitals in Sri Lanka, said this week it would vigorously contest an action instituted by an Indian company in a Sri Lankan court to ‘wind up’ the hospital company. In a notice to the Colombo Stock Exchange (CSE), the local company said a “false and malicious application to [...]

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Nawaloka’s former Indian partner sues hospital

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Nawaloka Hospitals, one of the pioneer private hospitals in Sri Lanka, said this week it would vigorously contest an action instituted by an Indian company in a Sri Lankan court to ‘wind up’ the hospital company.

In a notice to the Colombo Stock Exchange (CSE), the local company said a “false and malicious application to wind up the company has been filed by a former Indian joint venture partner Metropolis Healthcare Lanka (Pvt) Ltd in the High Court on October 12, 2018.”

While stating that it would ‘vigorously’ contest the petition, the notice said that the next date of the case is on March 12. No other details were given in the CSE notice and company officials were not immediately available for contact. Other sources said the issue was over a payment dispute.

In February 2007, Nawaloka Hospitals said it had entered into a joint venture with Metropolis Health Services [India] Pvt. Ltd, bringing cutting edge diagnostic services previously unavailable in Sri Lanka. The venture led to the first-ever Reference Laboratory being set up in Sri Lanka.

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