Posted on 32 Comments

Globus Medical’s Inside Job

In February of last year spinal orthopedic device maker Globus Medical purchased Branch Medical Group, a key supplier and contract manufacturing operation based just 3 miles away from its Audubon, Pennsylvania, headquarters.

The BMG deal was announced on the same day Globus released fourth-quarter and 2014 earnings and little attention was paid to what looked like another instance of a high-profile, larger company merging with a small, privately held one.

But with a $52.9 million all-cash price tag, the purchase of BMG was not so small for Globus, which had just reported $474 million in sales for the prior year. Moreover, it was no ordinary deal: In the bloodless language of business law, the BMG purchase was known as a related-party transaction. On paper, as referenced in several annual reports, the families of Globus’ top three executives owned 49 percent of BMG and management enthusiastically proclaimed a good opportunity to take control of the production process. In reality, however, a stroke of the pen allowed those same Globus executives to legally transfer $25.9 million in shareholder cash to themselves.

(It should be noted that while the majority of related party dealings — where the company conducts business with insiders like board members and senior executives — are often as benign as employing an executive’s son or daughter, they have also been at the center of numerous instances of self-dealing and abuse.)

As far as the Securities and Exchange Commission is concerned, the BMG purchase was legal and met the requisite disclosure standards. Since the 2012 initial public offering filing, Globus had acknowledged that the families of its chief executive officer David Paul and senior vice president of operations David Davidar, as well as former president and chief financial officer David Demski, owned the 49 percent stake in the then-unnamed “third-party” supplier.

It’s how very little the disclosure rules really mandate that should trouble Globus investors.

A Southern Investigative Reporting Foundation investigation found that the purchase price — it increased in under eight weeks to $68 million — is very difficult to explain when compared to what a Globus competitor paid for a key vendor under two years prior.

BMG has a host of other issues that merit investor concern, including the undisclosed financial relationship between David Paul and BMG’s ex-CEO and the inability of the supplier’s supposedly remarkable margins to meaningfully contribute to Globus’ earnings.


While the concept of purchasing a key supplier has merits in a time when insurance plans are forcing a movement to capitation, or flat fee payments per patient — thus setting off concentric rounds of price-cutting throughout the health care system — Globus’ BMG deal has a big head-scratcher: the price.

Unusually, the $52.9 million price in the February press release became $68 million when the Proxy was filed in late April, a 22 percent increase. The reason given: working capital adjustments from $9 million additional cash in a BMG bank account and $5 million in accounts receivable. To be sure the deal’s legal provisions did note that the price was “subject to adjustment to certain working capital items.” Most every acquisition has a provision for it — examples include tardy customers finally paying up or some inventory getting written down as a project is cancelled.

A 22 percent working capital adjustment upwards, however, would appear to be exceptionally rare.

How so? One of the first things the suitor verifies in the due diligence process is cash balances. Obviously any company would want to know what’s in the bank; less obviously, cash accounts have often been the proverbial canary in the coal mine with respect to operational or governance problems. Inexplicable swings up or down in cash balances, or large payments to or from unknown entities, can suggest a host of looming problems. So this part of the vetting process often gets granular quickly as one team of finance executives grills the other about the minutiae of their payment cycles and receivables portfolio payments.

For a company that did $21.9 million in revenues in 2014, $9 million cash is a great deal of money to surface over an eight-week period. The Southern Investigative Reporting Foundation sought clarification from Globus on the specifics of the working capital adjustment.

Globus president Anthony Williams, in answering a question about the working capital adjustments, took exception to the Southern Investigative Reporting Foundation’s characterization of the BMG deal’s price as having increased. He said the net expense to Globus remained $52.9 million given that the $9 million in cash, $5 million of accounts receivable and another minor adjustment effectively canceled the roughly $15 million price spike. (See his full answer here.)

In any event, by several yardsticks the BMG deal is remarkably expensive.

At the time of purchase BMG had $24.3 million of net assets — $14.9 million of which was plant, property and equipment — and over 60 percent of the allocated purchase price was goodwill. Despite interviews with former BMG officials who point to the supplier’s equipment being both modern and well-maintained, at the end of a day, paying over 2.5 times net assets for a contract manufacturer is considered remarkably expensive.

Looking at the purchase another way, during the Globus conference call discussing 2014 annual results, the interim chief financial officer David Demski said Globus planned on pumping “approximately $15 million to $17 million” into BMG to double its “sourcing.” If taken as an approximation of replacement value, this implies that between $15-$17 million would allow someone to replicate the supplier’s existing production capacity. So a $68 million price means that Globus paid 4.3 times replacement value. Investment bankers who work in the medical manufacturing sector told the Southern Investigative Reporting Foundation that twice replacement value is standard.

Then there are transactions within Globus’ marketplace.

NuVasive, a Globus competitor in the spinal orthopedic market, beat it to the punch when it purchased one of its own key contract manufacturers, ANC, in 2013 for $4.5 million. ANC is about two-thirds BMGs size, with 65 employees and 35,000 square feet of production space to BMG’s 110 staff and 50,000 square feet. Their economics were broadly similar, according to their last available financial filings — ANC did $19.5 million in revenue in 2013 and BMG reported $21.9 million in 2014.

Globus’ Williams said that an independent committee of Globus’ board of directors had hired Houlihan Lokey to do a fairness opinion. The investment bank concluded that comparable transactions were done between 5.5 times and 7 times 2014 EBITDA, making the BMG deal, he said, at 5.7 times its EBITDA a bargain for Globus shareholders.

The Southern Investigative Reporting Foundation asked Williams for a copy of Houlihan Lokey’s fairness opinion and received no reply; he was also asked why Globus, unlike many other companies, didn’t include a copy of the opinion when the merger documents were filed. In reply he said, “In my experience we took all of the steps that would be appropriate for an acquisition of this nature.”

A call to Houlihan, which does not list the BMG deal on its website’s list of advisory clients, was not returned as of publication time. (Williams’ full response is here.)


Buying BMG created an interesting dynamic rarely seen in the world of mergers and acquisitions: a husband and wife on the opposite sides of the negotiating table. While this sounds more dramatic than it likely was, David Paul’s wife, Sonali Paul, was the designated shareholder representative for BMG’s investors, according to the merger agreement; she was also BMG’s designated representative.

There is some evidence to suggest the deal had been long planned for. Spine Therapy Technologies LLC, the North Carolina holding company she used during the BMG sales process, was created in January 2014. Don Reynolds, the lawyer from Raleigh, North Carolina’s Wyrick, Robbins, Yates & Ponton law firm who set it up, is a longtime Globus adviser who was listed on its IPO prospectus (and Anthony Williams’ former law partner).

In response, Williams said that the use of entities like Spine Therapy Technologies is standard in mergers and that Don Reynolds’ law firm had represented BMG since its inception. (See here for his full response.)

One oddity of the merger has been BMG’s minimal contribution to Globus’ bottom line, despite having disclosed $9.1 million in adjusted EBITDA in 2014. IBMG’s 39 percent adjusted EBITDA margin was almost three full percentage points better than Globus’ so it should have been an immediately visible contributor to profits.

Using pro-forma numbers, released in Globus’ quarterly filings which include BMGs results, the supplier would have added only $816,000 in income in 2014. That’s a difficult number to understand — assuming a standard 35 percent corporate tax rate, and eliminating interest (BMG had no debt) this leaves only depreciation as a culprit, but a three- or four-year depreciation schedule on modern equipment is very unusual.

Asked about this, Williams said, “The profit and loss benefits take time to realize based on accounting principles. As we’ve publicly stated on several occasions, BMG’s profit becomes part of Globus Medical’s inventory and is recognized on our income statement as that inventory is sold.” (See his full statement here.)


BMG began life as BCD Manufacturing Group LLC in March 2004, started operations the following year with a $2 million loan from Globus and was located in Globus’ headquarters building for five years; in February 2008 its name was changed to Branch Medical Group. (Anthony Williams, then a lawyer for the Wyrick, Robbins firm above, handled the paperwork.)

Through March of 2009, David Paul was BMG’s president and CEO. Within a year after Paul stepped down, his wife Sonali, as well as David Davidar’s wife Janet, became board members. David Demski, who would become Globus president and chief operating officer, was also a BMG board member and its treasurer.

Globus classified BMG as a variable interest entity, meaning that the supplier’s revenues were kept on its books — but presented separately. That changed in late December 2009 when an investor — the company refuses to disclose who — made a $2 million investment and the company became independent.

After Paul gave up BMG’s helm in March 2009, Mahboob Khan, a childhood friend of his, moved to America and was appointed the supplier’s choice. Despite the pair’s personal bonds, he was not an intuitive choice to run a a complex orthopedic device business, having run a shoe business in India. In reply to a question about Khan’s qualifications to run BMG, Williams said, “Mr. Khan did much more than just run a leather shoe factory in Chennai. Mr. Khan’s expertise was in a large-scale manufacturing operations supplying a global market. He ran factories with thousands of employees.” (See Williams’ full reply here.)

Khan and Paul must be truly close friends because when Khan and his wife bought a very attractive 7,900 square foot house in Phoenixville, Pennsylvania, on 2.5 acres, Paul co-signed two mortgages worth $836,000 (one for $804,000 and another for $32,000). In May 2011, when Khan refinanced the property, Paul assigned his one-third interest in the property to Khan and his wife for $1.

A personal guarantee of the magnitude Paul extended Khan could have conceivably raised questions about Khan’s ability to aggressively stand up for BMG’s interests.

The reason relationship wasn’t disclosed, according to Williams, is because Paul did not pay any amounts under the initial mortgages and he had only co-signed in the first place because his friend didn’t have the requisite credit history to obtain a loan.

Khan had an ownership stake in BMG, Williams said, but he declined to specify how much. Pressed on why its owner group remained hidden, Williams said the supplier had goals of doing business with other large medical device manufacturers and its owners argued to Globus that publicly disclosing their relationship in the IPO prospectus might alienate prospective customers.

As it emerged, BMG had few customers, prospective or otherwise, apart from Globus which regularly accounted for between 90 percent to 95 percent of its revenues, according to Securities and Exchange Commission filings. (See Williams’ full response here.)


The Southern Investigative Reporting Foundation spent a week seeking answers to its questions via phone and email from a series of Globus executives named in this story, as well as Brian Kearns, its new investor relations chief.

(If Kearns’ name seems familiar, it’s likely because of the 2009 SEC complaint brought against him related to his stint as CFO of MedQuist, a failed medical billing operation. As part of a settlement, he paid $50,000.)

Neither Sonali Paul nor Mahboob Khan replied to a series of detailed voice messages left on their mobile phones.

In fact, no Globus executive replied to messages sent to them except Anthony Williams. He gave these answers to questions posed to him.

32 thoughts on “Globus Medical’s Inside Job

  1. My sense is we shouldn’t be that concerned about increases in working capital flowing through to the nominal cash outlay / purchase price. These sorts of adjustments are pretty common, though there is room for abuse. The abuse potential as I see it, though, is a general related party transaction issue: what were the margins on these sales from BMG? Were the underlying margins really reflective of arms length transactions?

    I also wouldn’t worry that much about not seeing the fairness opinion. Fairness opinions sometimes have juicy details / data points, but from an analytical standpoint, they are basically puff pieces.

    All that said: the level of conflicts of interest here are pretty astounding. And paying 4x replacement cost? I can’t even figure out why someone would pay the standard 2x replacement cost, unless there is some kind of licensing or other entry barrier associated with this (or massive time delay who’s imputed interest cost is not reflected in the replacement cost amount).

  2. Correction: Janet is Janet Chelladurai, the sister of David Davidar and the widow, apparently, of Paul Chelladurai, formerly, of 131 Falcon St, Elyria, OH 44035. She was the VP of HR (?) at BMG. (search for Janet Chelladurai)

    Paul Chelladurai was the brother of a preacher, Sam Chelladuari ( ), of the Apostolic Fellowship Tabernacle, a megachurch, in Chennai, India, who preaches at Cornerstone Fellowship, Audubon, PA.

    Cornerstone Fellowship, Audubon, PA, was founded by David Paul and David Davidar. It is now led by Visuvasam Dhanaraj, a relative of David Paul, and a Pentecostal-style preacher who ‘speaks in tongues’, the latter, mostly, being unintelligible to ordinary mortals. For example, try, ‘Receive the fire of Oh rububbabubbabubhahashibbibubba (or something to that effect)…’
    In 2008, David Paul gifted/granted/sold his former residence, at 405 Greene Lane, Phoenixville, PA, to Visuvasam Dhanaraj, a beneficiary of stock options of Globus Medical, worth several $$, in 2003.

    Mahboob Khan and his wife, Aruna Elizabeth Khan, are also on the deed for a mortgage in the amount of $32,000, dated December 2008, for 123 Anderson Farm Rd, Phoenixville, PA 19460, which also happens to be David and Sonali Paul’s primary residence, but curiously, also lists the very same address as Mahboob Khan’s residence.

    Mahboob Khan has also preached at Cornerstone Fellowship, Audubon, PA.


    Baker, Kelly J. (ex-Synthes)
    Bennett, Byard and Shalini – Byard Bennett is a Christian theologian – ( ). Shalini, Byard’s wife, is the sister of Vaneetha Demski, the ex-wife of David Demski.
    Berachah Foundation, Inc. – David Davidar is the trustee.
    Binder, Larry (ex-Synthes)
    Chelladurai, Janet ( sister of David Davidar, Charles Davidar, and John Davidar. Appears to be the widow of Paul Chelladurai.)
    Davidar, Charles (brother of David Davidar)
    Davidar, David D. (no experience in the medical-device industry, childhood friend of David Paul)
    Davidar, David D. and Sarah G. (as joint tenants with the right of survivorship)
    Davidar, Sarah G. – wife of David Davidar.
    Davidar, David D., Trustee, Davidar 2009 Grantor Retained Annuity Trust U/A 8/6/09
    Davidar, John – brother of David Davidar.
    Davidar, John and Sunitha – brother and sister-in-law of David Davidar.
    Davidar, John, as Custodian for Jadon Davidar pursuant to the PA Uniform Transfers to Minors Act
    Demski, David M.
    Demski, Vaneetha – ex-wife of David Demski, now Vaneetha Rendall Risner ( ). Sister of Shalini Bennett.
    Dhanaraj, Visuvasam – relative of David Paul and a significant beneficiary of Globus Medical stock options. A Pentecostal-style preacher, and pastor of Cornerstone Fellowship( ), who ‘speaks in tongues’, the latter, mostly, being unintelligble gibberish to ordinary mortals. For example, try, ‘Receive the fire of oh rububbabubbabubhahashibbibubba (or something to that effect)…’
    Emmanuel, Jeyakaran – Sarah Davidar’s brother, David Davidar’s brother-in-law and, (you guessed it!), another preacher!
    Iswariah, Paul – appears to be related to David Paul, not sure though.
    James, Dhinakaran – Apparently, this person, who goes by ‘Dinu’, is related to Sarah Davidar. He was on a temporary visa in the US and his visa was transferred by Globus Medical as a work-related visa.
    Kienzle, Richard (ex-Synthes, ex-Globus Medical. and, along with another ex-Synthes, ex-Globus Medical alum, Bill Rhoda, )
    Kukde, Anjali – sister of Sonali Paul, David Paul’s wife and a beneficiary of stock options cashed at about $2.5m.
    Kukde, Shantanu – brother of Sonali Paul, David Paul’s wife, and, apparently, a beneficiary of Globus Medical stock options.
    Kumar, Deepa Praveen – not sure if she is related to David Paul.
    Daniel Paul 2010 Grantor Retained Annuity Trust U/A 7/20/10
    Paul, Daniel – David Paul’s cousin.
    Paul, Daniel S. and Preetha – Check his linkedin profile. Daniel Paul is David Paul’s cousin and Preetha is his wife. He submitted the very first 510(k) filings to the FDA. Prior to 2003, when he appears to have ‘co-founded’ Globus Medical, he had no experience in the medical-device industry.
    Paul, David C. – self-explanatory.
    Paul, David C. and Sonali (as joint tenants with the right of survivorship) – Sonali Paul, née Kukde, is David Paul’s wife. She met him at Temple University, where she obtained a master’s degree in HR.
    Paul, David C., as Trustee of the David C. Paul 2010 Grantor Retained Annuity Trust U/A 4/6/10
    Philip, Gladstone K. – David Paul’s brother-in-law, his sister’s (Jayanthi’s) husband. Arrived in Canada as an immigrant in the late 1990s or 2000, after David Paul assisted him. Flipped burgers at Wendy’s for quite a while until David Paul, via Globus Medical, arranged for a work visa and appointed him as the VP of HR, even when he had no clue about US HR laws.
    Philip, Jayanthi – David Paul’s sister and Gladstone Philip’s wife.
    Philip, Jayanthi as custodian for Jachin Philip under the PA Uniform Transfers to Minors Act
    Philip, Jayanthi as custodian for Jonan Philip under the PA Uniform Transfers to Minors Act
    (Jonan and Jachin are Gladstone and Jayanthi Paul’s children).
    Sinha, Amit – close friend of David Paul while they lived in the dormitory of Eastern University, St. Davids, PA. David Paul helped him get employment at Synthes. ex-Synthes, ex-Globus Medical. ( )
    Tecce, Frederick A. ( )
    The Shiloh Foundation – trustees: David and Sonali Paul

  4. Missed two names…
    David S. Rendall – father of Vaneetha Rendall (Demski) Risner
    Samuel J. Rendall – relative of Vaneetha Rendall (?) Apparently works for Globus Medical.

  5. 1.

    1:41:14 – Mahboob Khan


    Visuvasam Dhanaraj

    38:09 – Visuvasam Dhanaraj speaking in tongues


    1:54:49 – David Christopher ‘Christy’ Paul prays…

  6. When 345 Bethel Road, Spring City, PA 19475, was acquired for about $2.2m by David Paul and Sonali Paul on December 18, 2009, their address was mentioned as 123 Anderson Farm, Phenixville, PA 19460. There is no mention of a Mahboob Khan. Also, when David Paul worked at Synthes, his wife, Sonali, was envious of the fact that Hansjoerg Wyss was a billionaire and that
    he owned vineyards/wineries in Paso Robles and, she mentioned on more than one occasion, that their goal was to buy a farm with a farmhouse; all this before 2300 Synthes product designs, according to the lawsuit filings, were compromised.

  7. 123 Anderson Farm Road, Phoenixville, PA, belongs to David and Sonali Paul, not Mahboob Khan and his wife, Aruna.
    There are pictures of David Paul and Visuvasam Dhanaraj, David Paul’s relative and the pastor of Cornerstone Fellowship, dunking people in the (backyard) swimming pool during a baptism of the Holy Spirit. David Paul’s mother lives with them (David and Sonali) and his in-laws, Samuel and Kamal Kukde, stay with them at that very same address when they visit the US from India. So, all this stuff about Mahboob Khan buying the property at 123 Anderson Farm Road does not appear to add up.

  8. David Demski and his ex-wife, Vaneetha, were trustees of the Philippians 4:19 Foundation. The verse from the Book reads: But my God shall supply all your need…

    David Demski divorced his wife for reasons best known to them and God. Could it be that God did not supply all his needs, physical and spiritual?

    It may very well be that Vaneetha Rendall (Demski) and Shalini Bennett, Christian theologian Byard Bennett’s wife, are related to Sarah Davidar’s (David Davidar’s wife’s) family or David Davidar’s family. Take this with a big grain of salt, but the Davidars appear to be related to the Rendalls.

  9. Vaneetha Rendall (Demski) Risner from her blog, : My husband left for another woman, citing my inadequacies as a wife. My children walked away from God in anger, highlighting my failure as a parent. Our home became a place of rage and regret, the opposite of the sanctuary it once was. My arms starting failing because of post-polio and so I had to stop cooking, scrapbooking, and entertaining and had to concentrate on self-care.


    Better still, call David and Sonali Paul at 484.354.0633 OR 610.917.2121 .

    About Us

    Bethel Farm was purchased in December of 2009 and now consists of over 200 acres of rolling hills, meadows, and woods with several streams running through the property. There are over 5 miles of marked trails through the woods and fields with sightings of various wild animals including deer, foxes, opossums, raccoons, weasels, groundhogs, rabbits, etc. Birds seen include Red-Tailed hawks, pigeons, bald eagles, doves, herons, geese, ducks, and a myriad number of other small birds.
    Bethel Stables was established in spring of 2013 in Spring City, Pennsylvania. Built on 200 acres of rolling hills and pastures, Bethel Farm and Stables provides a safe environment for both horses and riders. We are focused on the hunter, jumper, and equitation disciplines. To begin our boarding and lesson program, fifteen spacious stalls were built adding to three courtyard stalls. A 100×200 outdoor riding ring was built shortly after with plans to build an indoor riding arena within the next few months. All levels of riding are welcome! Please call our trainer, Wendy Myers, at (484)948-8240 for questions about lessons, boarding, and our new facility.
    123 Anderson Farm Road, Phoenixville, PA 19460, owned by David and Sonali Paul.,256915616/,256915616/

  11. Apropos Sonali Paul, David Paul’s wife…
    She arrived in the US in 1989, ostensibly to pursue a Ph.D. in Economics, but transferred to a master’s degree course in HR. While studying at Temple University, she met David Paul, who had enrolled at Widener University and then transferred to Temple University.
    The relationship was tenuous at best, given the fact that David Paul’s family, especially his father, Appadurai, who, apparently, was known to accept bribes in Chennai, India, was against the thought of his not-so-saintly son marrying Sonali Samuel Kukde of 690 Quartergate, Pune, Maharashtra, India.
    In 1995/1996, David Christopher ‘Christy’ Paul then unemployed and without a visa allowing him to reside in the United States, was desperately looking for work. Sonali Paul, then working at The Children’s Hospital of Philadelphia, after obtaining an MS in HR from Temple University, was supporting an unemployed David Paul, who was eating, for free, at Philadelphia House, run by Ken and Donna.
    David Paul, wearing a suit purchased by Sonali Paul at a Men’s Wearhouse, attended an interview at Johnson & Johnson and was promptly rejected. Luckily for him, Synthes, a company owned by billionaire Hansjoerg Wyss, an alumnus of the Swiss Federal Institute of Technology from where Albert Einstein obtained his Ph.D. and a Harvard MBA, class of 1965, offered him employment, just in time for him to obtain a visa to continue to reside in the US.
    Sonali Paul’s application for permanent residency (green card) was rejected, leaving her depending on David Paul obtaining an green card through Synthes.
    Hansjoerg Wyss once visited David Paul at 405 Greene Lane, Phoenixville, PA 19460, impressed by this Christian from India! Kamal Kukde, Sonali Paul’s mother, and David Paul’s mother-in-law, prepared an Indian meal after which Hansjoerg Wyss gave David Paul a bottle of wine, vinted and bottled at his Paso Robles vineyard.
    Sonali Paul waxed eloquent on how her and David’s goal was to acquire a farm and farmhouse with animals and, possibly, a vineyard. The love of money set in motion an insatiable appetite to acquire worldly possessions.
    Shantanu Kukde, Sonali Paul’s brother, was praying that, ‘My family should have good health and should be financially sound’. He was fired from Globus Medical, Chennai, India, apparently, after a complaint by Nizamudeen Showkat Ali, an employee of Globus Medical, Chennai, India. Shantanu never got over this.


    Perk Valley enters agreement to sell Trappe Building

    By Mark D. Marotta
    Journal Register News Service
    TRAPPE — The Perkiomen Valley School Board has approved a proposed $1.9 million agreement to sell the Trappe Building, at 29 E. First St., to the Shiloh Foundation, which is interested in opening a private school.

    The board voted 6-3 in favor of the proposal on Aug. 9. Members John King, Cpt. Sam Schweigert and Diane Landes cast the dissenting votes.

    The website for the National Center for Charitable Statistics includes a link to an Internal Revenue Service report for 2008 filed on behalf of a Shiloh Foundation with an address on Anderson Farm Road, in Schuylkill Township, Chester County. An attachment to the document listed a different address, on Greene Lane, also in Schuylkill Township. The IRS filing identified David C. Paul and Sonali Paul as foundation managers, and it listed various foundation contributions to organizations such as Eastern University, in St. Davids, Delaware County, and the Spring Valley Community Church, in Royersford.

    Voice messages left on the telephone number indicated on the IRS filing, requesting comment, were not returned.

    names the registrant as Daniel Paul, David Paul’s cousin.

    Name: Daniel Paul
    Organization: Globus Medical
    Mailing Address: Valley Forge Business Center, Audubon Pennsylvania 19403 US
    Phone: +1.6109301800
    Fax: +1.6109302042
    Fax Ext:
    names the registrant as Visuvasam ‘RubbaDubbaShabbaHabbibi’ Dhanaraj
    Admin Contact
    Name: Visuvasam Dhanaraj
    Organization: Cornerstone Fellowship
    Mailing Address: 405 Greene Lane, Phoenixville Pennsylvania 19460 US
    Phone: +1.4847446219
    Fax Ext:

    Registrant Contact
    Name: Daniel Paul
    Organization: Globus Medical, Inc.
    Mailing Address: 2560 General Armistead Avenue, Audubon Pennsylvania 19403 US
    Phone: +1.6109301800
    Fax: +1.6109302042
    Fax Ext:
    Admin Contact
    Name: Daniel Paul
    Organization: Globus Medical, Inc.
    Mailing Address: 2560 General Armistead Avenue, Audubon Pennsylvania 19403 US
    Phone: +1.6109301800
    Fax: +1.6109302042
    Fax Ext:
    Tech Contact
    Name: Daniel Paul
    Organization: Globus Medical, Inc.
    Mailing Address: 2560 General Armistead Avenue, Audubon Pennsylvania 19403 US
    Phone: +1.6109301800
    Fax: +1.6109302042
    Fax Ext:


    Contact Details

    Email ID:

    Website: Click here to add.


    CHENNAI – 600020
    Tamil Nadu

    Globus Medical India Private Limited is a Private Company incorporated on 31 January 2006. It is classified as Indian Non-Government Company and is registered at Registrar of Companies, Chennai. Its authorized share capital is Rs. 100,000,000 and its paid up capital is Rs. 89,336,496.It is inolved in Wholesale of machinery, equipment and supplies

    Globus Medical India Private Limited’s Annual General Meeting (AGM) was last held on 29 September 2015 and as per records from Ministry of Corporate Affairs (MCA), its balance sheet was last filed on 31 March 2015.

    Directors of Globus Medical India Private Limited are Jeyakaran Emmanuel, Anand Balasubramanian, Sridhar Sivaprakasa and David Christopher Paul.

    Globus Medical India Private Limited’s Corporate Identification Number is (CIN) U51507TN2006PTC058707 and its registration number is 58707.Its Email address is and its registered address is NO.14 (OLD NO.8) SHASTRI NAGAR 11TH CROSS STREET, ADYAR, CHENNAI – 600020, Tamil Nadu INDIA.

    Current status of Globus Medical India Private Limited is – Active.
    Director Details
    DIN Director Name Designation Appointment Date



    Additional director

    03 July 2006

    View other directorships




    31 January 2006

    View other directorships




    03 July 2006

    View other directorships




    31 January 2006

    View other directorships

    Note that Jeyakaran Emmanuel, a pastor, is the brother of Sarah Davidar, David Davidar’s wife. He is also the recipient of a large sum of stock option of Globus Medical, Inc.
    Interestingly, Mahboob Khan, the former leather-shoe manufacturer and C-level officer of the Branch Medical Group, was not a named officer of Globus Medical Private Limited, coincidentally, based in his hometown of Chennai, India.
    To the best of my knowledge, Sonali Paul, the wife of David Paul, after a brief stint at the Children’s Hospital of Philadelphia, was a homemaker and stay-at-home mother with two children, Jxxxxxun, and Jxxxxlle. To make her appear to be a manufacturing supply-chain guru at Branch Medical Group would be a major stretch of imagination.

    345 Bethel Rd, Spring City, PA 19475
    Single Family
    6 beds · 1.5 baths · 2,541 sqftLot size: 4 acres
    Resident Name Phone More Information
    David C Paul (610) 933-4923

  16. “The testimony was pretty damning for Globus,” said juror Mary Ellen Krysko of Warminster. “Synthes produced copies of Globus and Synthes safety testing ratings with FDA. They were word for word, including typographical errors.” Synthes also called as witnesses Globus employees “who methodically resigned on Friday and started with Globus the next Monday for eight months in a row.”

    “The whole thing seemed planned at that September meeting David Paul had at his house,” the juror said. “I don’t know how the defense could have refuted any of it. I’m not always for the big guy, but I was in this case.” (after Dr. Bianco prevailed, Globus Medical attempted to get the decision reversed – read the reasons as to why they believed so!!!).

    David Paul, of Globus Medical, made this exact same threat against someone in 2008, once he came into ‘money’ (substitute Synthes with Globus Medical, Hansjoerg Wyss with David Paul, David Paul with XXXX, an individual, ‘drown Globus’ with XXXX, an individual, and $5 billion with $1 billion):
    ‘[a Synthes’ representative] expressed to others that the chairman and majority owner of Synthes, Hanjorg Wyss, had a personal vendetta against David Paul;
    furthermore, since Mr. Wyss has a estimated net worth of $5 billion, he would spare no expense in attempting to drown Globus in legal fees and drive it out of



    David C. Paul (3) – 30,416,941 shares (appx. 35%).
    David D. Davidar (4) – 1,670,127 shares (appx. 2%)
    David M. Demski – 990,322 shares (1.16%)
    Vaneetha Demski (now Vaneetha Rendall Risner) – 990,322 shares (1.16%)
    Daniel Paul (David Paul’s cousin) – 1,879,717 (2.15%)

    ‘In particular, as of March 31, 2012, David C. Paul, our CEO, controlled, on an as-converted basis, 34.4% of our Class A and Class B common stock, representing 84.0% of the voting power of our outstanding capital stock as of that date.

    Upon the closing of this offering, the shares owned by David C. Paul will represent 82% of the voting power of our outstanding capital stock. As a result, these persons, acting together, or even David C. Paul, acting alone, will have the ability to significantly influence or determine the outcome of all matters submitted to our stockholders for approval, including the election and removal of directors and any merger, consolidation, or sale of all or substantially all of our assets.’


    Several individuals, and relatives of David Paul, Sonali Paul, David Davidar, and Sarah Davidar, own or have cashed shares/stock options worth several million US dollars, each. None of these transactions appear in public media.

  19. Bethel Farm and Stables Reviewed by Sonali Paul on Facebook

    FDA Filing by Daniel Paul

    510(k) filing on June 27, 2003, by Daniel Paul, David Paul’s cousin. Sometime in 1995/1996, Daniel Paul, then a fledgling software coder, appears to have been unemployed, and involved in setting up the website for Philadelphia House and was gathering input from Ken and Donna. He had just purchased a new Toyota Camry and, according to David Paul, was having a tough time, financially. He had no expertise in the medical-device industry back then and, until he co-founded Globus Medical and filed these 510(k) filings, appears to have had no knowledge of medical devices.

  20. Who Owns/Owned the ‘Manufacturing Facility’ (BMG)?
    Who Owns 123 Anderson Farm Rd, Phoenixville, PA 19460?

    From what Sonali Paul’s parents said, it appeared that the manufacturing facility belonged to ‘him’. It goes without saying that ‘him’ referred to David Paul. Mahboob Khan was never mentioned.

    Also, 123 Anderson Farm, Phoenixville, PA 19460, was, according to Sonali Paul’s parents, the residence of ‘Christy and Sonali’. David Paul’s mother lived/lives there, too. No mention was ever made of a Mahboob Khan.

    One can confirm this from Samuel Kukde, Sonali Paul’s father, by looking up/confirming the telephone number via BSNL:
    LastName-> KUKDE
    City-> PUNE
    SAMUEL KUKDE (Sonali Paul’s father)

    If dialing from the US, dial 011 91 20 26344410

  21. Mahboob Khan and David Paul Greeting Each Other (9/13/2015)

    34:36 – Mahboob Khan greets David Paul.

  22. Check out this crime report from The Times Herald, December 11, 2013, filed by Oscar Gamble, The Times Herald. So, what’s the ruckus about?

    WEST NORRITON — A former employee of Globus Medical, … is being investigated for n connection with the theft of company data. The company’s vice president (legal) told police …, prior to resigning, downloaded more than over 100 files of confidential marketing and product information between 11 a.m. Dec. 3 and 11 a.m. Dec 4.
    Globus contends that the employee is the only person who had access to the laptop from which the files were downloaded and is contractually bound by a “no compete” clause that makes him criminally liable for the alleged action. As of Dec.11, the police investigation was ongoing.

    Compare this with:

    One of three Globus defendants on trial, Lawrence Binder, is accused of downloading 2,300 computer files that were electronic blueprints for Synthes products.
    “Mr. Binder admitted he downloaded at least some of them onto a CD,” Flannery told jurors, noting that Binder said he had since misplaced that CD.

    As for product designs Synthes says Globus stole, McShea argued that they can be found in standard engineering textbooks or on the Internet. “This is not confidential information,” he said.

    And this:
    25 Years for a Slice of Pizza

    The moral of the story: Steal a slice of pizza and you’ll be sentenced to 25 years in prison; ‘find’ product designs in standard engineering textbooks or on the Internet – never mind if they eerily resemble product designs from a medical-device company – and you get off scot-free.

  23. Some more about Sonali Paul’s work experience…this time in Pune, India. Again, you can look far and wide, but there’s nothing related to manufacturing.

    Sonali Kukde, who married David Paul in 1996, used to work for a guy named Reggie in Pune. From the accounts I have heard, she used to be fascinated by Reggie and the money, in cash, Reggie used to bring in, repeating over and over again, ‘Do you know how much money Reggie makes?!!’. When her sibling begged Sonali to request Reggie to employ her, she told her that she wouldn’t be a good fit to work for Reggie.
    According to another account, in 1986/1987, she approached Reggie to pony up the fees required to be shown in a bank account to secure a student visa, F1, for the United States. Her maternal grandfather had recently sold his house in Ahmedabad, Gujarat, to Torrent Pharmaceuticals Ltd., and had the money available in cash, but wasn’t all that enthusiastic about transferring the money required for the fees to Sonali’s bank account.
    A look into the source of Sonali (Kukde) Paul’s source of funds, as presented to the US Consulate in Mumbai to obtain the student visa ( a matter of public record), will clear up the fact as to whether they came from her grandfather or from Reggie.

  24. Anyone notice that the Youtube videos, the links to which have been provided in the comments, have disappeared? The entire live-stream site for Cornerstone Fellowship, PA, has disappeared off the face of the Internet!
    Is someone hiding something? Pastor Visuvasam ‘RubbaBubbaShubbaDabbawala’ Dhanaraj needs to be contacted to find out why all those YT videos disappeared when he strongly exhorted his flock to watch the live stream!

  25. Also, call Kumud and Sheila Kukde, Sonali (Kukde) Pal’s aunts in Pune, India, and ask them about Globus Medical and what they think of ‘Christy’ as David Paul is known, and Sonali, and their dealings in the US.
    LastName-> KUKDE
    City-> PUNE
    KUMUDINI SHAHU KUKDE (Sonali Paul’s aunt)
    If dialing from the US, dial 011 91 20 26342447

    Cornerstone Fellowship’s leadership team in 2008.

    If the names sound familiar, it’s because almost all of them are listed in the SEC filing. With, possibly, one or two exceptions, Dr. SheejaA and BalanS, all of them are beneficiaries, to the tune of millions of $$$$, of Globus Medical’s ‘product designs’ whose origin was explained by Kevin M. Flannery, Synthes’ lawyer.

    As a sanity check, look around your house and pick 100 simple objects. Now, come up with a plan to manufacture all of them without any guidance. Buy the equipment to manufacture the 100 objects chosen by you, and set up a manufacturing facility to manufacture them and, by the way, also produce the product designs required by the manufacturing facility.
    See how complicated this is?

    Now, picture yourself producing/manufacturing 2300 complex medical devices, all of which are to be implanted in the human body, specifically, the spine, all by reading standard engineering textbooks and looking up things on the Internet.

    According to the theory of probability, there’s a better chance of Ham the Astrochimp making marks on a piece of paper and accidentally authoring John Steinbeck’s book, The Grapes of Wrath, and worse, winning the Nobel Prize for Literature.

  27. I think some are interested in personal lives than in the company. Whoever is hosting this blog should moderate the comments and limit them to the topic and not get into personal lives. If this blog owner don’t remove inappropriate comments, then he/she is inviting an online defamation case as per

  28. @XYZ
    ‘If this blog owner don’t remove inappropriate comments, then he/she is inviting an online defamation case as per…’

    Translation: If you don’t remove the comments, it is probable that some born-again Christians and, possibly, several so-called Christian ministers with ministries in Audubon and New Jersey, will sue you for defamation – even though truth is the best defense against defamation and the dead cannot sue for defamation – using money obtained by using product designs whose origin was best explained by Kevin Flannery, Synthes’ lawyer.
    Is the translation accurate?

  29. The U.S. Supreme Court on Monday (June 20, 2016) declined to review a case in which a jury ordered medical device manufacturer Globus Medical Inc. to pay $4.3 million plus future royalties for misappropriating a doctor’s trade secrets in connection with three of the company’s top-selling spinal fusion devices.
    **Operative words – misappropriating a doctor’s trade secrets **

  30. Cornerstone Fellowship’s co-founder and CEO of Globus Medical, David Paul, was fined $1 million by the FDA. Globus Medical had to also cough up over $2 million when Medtronic won the patent infringement lawsuit against Globus Medical.

    *** How many founders of churches can boast of being fined by the Food and Drug Administration of the United States? ****
    It turns out that this singular honor belongs to David Paul of Globus Medical. (FDA’s Letter)


    ‘…an award of $2,866,405 for lost profits to compensate for Medtronic USA’s sales of the Sextant System lost because of the infringement; (2) an award of $1,327,866 for statutory royalties on sales of the Pivot System for which Medtronic USA did not claim lost profits; and (3) entry of a permanent injunction prohibiting Globus from selling the Pivot System…’

  31. Please prove that I was fired by Nizam Showkatali before making baseless allegations about me. After I decided to be away from Globus Chennai, and was at home, I was asked verbally to join back on more than 5 occasions. And if I want I can join Globus Chennai even today. Thanks Shantanu Kukde.

Leave a Reply

Your email address will not be published. Required fields are marked *