Appeal Court extends stay order on New Nawaloka Medical Centre’s asset sale

The Court of Appeal has dismissed the objections by Hatton National Bank (HNB) against a previous order preventing the bank from seizing assets belonging to New Nawaloka Medical Centre (Pvt.) Ltd.
The lengthy interim order, issued yesterday, extends the stay on parate execution until the final court decision is reached.
This development follows New Nawaloka Medical Centre’s challenge to HNB’s attempt to auction the hospital premises over a disputed loan of Rs.600 million. 
In March, the Court of Appeal issued a temporary injunction preventing HNB from taking such action against New Nawaloka Medical Centre Ltd, a subsidiary of Nawaloka Hospitals PLC.
Following this, Nawaloka Hospitals issued a statement reassuring the stakeholders of their financial capacity to meet the loan obligations without impacting operations or commitments.