SpiceHealth alleges COVID-19 testing company violated contract obligation, stole confidential info; writes to ICMR, Delhi Health Min

SpiceHealth, the healthcare arm of SpiceJet, has written to the Indian Council of Medical Research (ICMR) and Delhi Health Minister Satyendar Jain, alleging that a company named GeneStore India Private Limited (GIPL), which collaborated with SpiceHealth for COVID-19 testing, has violated the contract obligation and engaged in conducting tests on its own.

Avanee Singh, Director, Spice Healthcare Private Limited has sought appropriate action in the matter. He alleged GIPL and Anubhav Anusha, in charge of operations of GIPL were tasked with fabricating, operationalising and managing some mobile laboratories for and on behalf of Spice Healthcare.

"As GIPL and Anubhav lacked credibility in terms of performance and otherwise, his continued association with us has put public health at risk, so we were constrained to terminate the collaboration with GIPL and Anubhav by entering into various transaction documents ("Definitive Agreements") towards the acquisition of mobile laboratories, supply of RT-PCR diagnostic kits and for certain non-compete covenants by paying a considerable consideration," she said.

"Under the terms of the Definitive Agreements, Spice Healthcare also purchased all equity shares of GISPL to acquire all licenses and accreditations owned by it for running the mobile laboratories. Importantly, under the Definitive Agreements, each of Anubhav and GIPL and/or entities related to them had agreed to observe non-compete obligations and have undertaken not to directly or indirectly engage or participate in any venture or business concerning Covid-19 testing. Further, they had also undertaken not to solicit any employee/ consultants of Spice Healthcare and/or its associated or group company/ies ("Non-Compete and Non Solicitation Obligations")," she said.

Stating that they have also stolen confidential and valuable information through these employees, SpiceHealth alleged it is now apparent that GIPL and Anubhav had hatched a "criminal conspiracy" to get associated with us and thereafter launch their venture for Covid-19 testing by stealing their confidential and valuable information by poaching their employees and ex-consultants.

"We have already served Anubhav and GIPL a legal notice to initiate criminal and civil action against them if they do not desist from further engaging in Non-Compete/ Non-Solicit activities and furthering the criminal conspiracy," read the statement.

( With inputs from ANI )