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EY Accused of Actively Concealing NMC Health Audit Fraud From Investors

  • NMC founder alleges auditor had ‘cozy’ relationship with execs
  • BR Shetty sues accounting giant in New York seeking $7 billion
An NMC Health hospital in Dubai, United Arab Emirates.

An NMC Health hospital in Dubai, United Arab Emirates.

Photographer: Christopher Pike/Bloomberg
Updated on

Ernst & Young faces accusations it “actively concealed” a six-year fraud from investors in a fresh lawsuit over its auditing work for the troubled NMC Health.

The hospital operator’s founder, Bavaguthu Raghuram Shetty, said the accounting giant enjoyed a “deep and cozy” relationship with executives at the troubled firm, alleging that the auditors turned a blind eye to thousands of suspicious transactions. Shetty is seeking $7 billion from the lawsuit.