Bank of Baroda shares fell about 3.5% on October 14 after reports that NMC Health founder B R Shetty filed a $15 billion suit in the Bombay High Court. Bank of Baroda says it has not been served.
What the Suit Is Reported to Allege
B R Shetty, founder of the NMC Healthcare group, filed a lawsuit in the Bombay High Court on October 13, 2026, according to Business Standard. The suit seeks $15 billion in damages from Bank of Baroda and 25 other defendants. Other reports put the amount at about ₹1.44 lakh crore.
The suit alleges that Bank of Baroda and former NMC executives enabled the diversion of funds and concealed liabilities. It further alleges that the bank later pursued Shetty on guarantees bearing forged signatures. These are allegations in a pleading and have not been tested in court.
How Bank of Baroda Responded
Bank of Baroda filed a statement with the stock exchanges on Wednesday, October 14. The bank said it had seen media reports of a suit said to have been filed by Shetty in the Bombay High Court on October 13. It said it has not been served with the suit and cannot comment on pleadings that are untested in court.
The bank added that, if and when it is served, it will defend the suit firmly and take all steps necessary to protect its interests. Bank of Baroda has also denied earlier allegations that it knowingly facilitated fraud at NMC, in a separate case brought by NMC’s administrator.
Bank of Baroda Share Price Reaction
Shares of Bank of Baroda traded 3.51% lower at ₹229.25 on the BSE in afternoon trade on October 14, according to a wire report carried by Deccan Herald. Business Standard described the stock as the top loser among public sector bank shares on the day.
The fall comes after a weak run around the NMC dispute. When Bank of Baroda disclosed a settlement with NMC’s administrators on July 2, 2026, the stock closed at ₹260.15 on the BSE, down 4.18%. By simple calculation, the October 14 afternoon price of ₹229.25 is about 11.9% below that July close. Other factors may also have moved the stock over those three months, so the gap should not be attributed to the NMC dispute alone.
A Timeline of the NMC Dispute and Bank of Baroda
The legal fight between Shetty and Bank of Baroda stretches back several years. The table below lists the main steps covered in the reports reviewed.
| Date | Development |
| July 2024 | A New York court dismissed an $8 billion suit by Shetty against Bank of Baroda and others, ruling it was not the appropriate forum |
| November 2024 | A Dubai International Financial Centre court found Shetty personally liable for a $33.2 million debt owed to Bank of Baroda |
| July 2, 2026 | Bank of Baroda agreed to pay $600 million, about ₹5,700 crore, to settle claims by NMC’s administrators, without admission of liability |
| October 13, 2026 | Shetty files the $15 billion suit in the Bombay High Court |
| October 14, 2026 | Bank of Baroda says it has not been served; shares fall about 3.5% |
The 2024 New York dismissal came with a condition. The defendants had to accept service of court papers if Shetty chose to refile in an appropriate forum. The Bombay High Court filing is a new case in an Indian court.
Recovery Efforts and the Pending Abu Dhabi Judgment
Bank of Baroda is pursuing the recovery of around ₹2,800 crore from Shetty, according to the bank’s statements as reported by News Karnataka. The bank also said the Abu Dhabi Global Market court has reserved its judgment against Shetty and NMC’s former chief executive Prasanth Manghat. Those proceedings involve allegations of fraud, wrongful trading and fraudulent trading.
The July settlement and the new suit sit on opposite sides of the same history. In the settlement, Bank of Baroda paid NMC’s administrators $600 million to end claims it had denied. In the new suit, Shetty claims damages from the bank. The $600 million settlement equals 4% of the $15 billion now claimed, by simple calculation, although the two cases involve different claimants and different allegations.
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What to Watch Next
The first question is whether Bank of Baroda is formally served and how the Bombay High Court schedules the case. Until then, the bank’s position is that it cannot comment on the contents of the suit. The pending Abu Dhabi judgment against Shetty and Manghat is the second item to follow, because it relates to the same collapse of NMC.
For readers following the stock, the key point is that a claim of this size is an allegation in a pleading. Courts decide outcomes, and the timeline for a case of this scale is typically long. Bank of Baroda’s disclosures to the exchanges will be the most reliable guide to any material developments.
