Sahara India given ‘enough chances’ to pay dues, says Supreme Court
The Supreme Court on Tuesday said Sahara India had been given ‘enough chances’ to pay Rs 10,000 crore out of the Rs 25,000 crore total payment ordered by the apex court in 2012.
The court said it has received information that the capital markets regulator currently has Rs 15,000-odd crore in the SEBI-Sahara Fund. “There is complete ambiguity about the rest of the amount,” the court was told.
“More than 10 years have passed, and you still haven’t deposited the money. SEBI is seeking the remaining Rs 10,000 crore… How will you muster the remaining Rs 10,000 crore?” a bench of Justices Sanjiv Khanna, Bela Trivedi, and MM Sundresh asked Sahara.
Senior advocate Kapil Sibal, appearing for Sahara, said the company did not have a fair opportunity to sell its properties as no one wants to touch its properties.
Responding to this, the court said, “You have been given enough chances.”
Justice Khanna also clarified that there is no bar on the sale of the properties.
The court has directed Sahara to list the properties it can sell to pay off the remaining Rs 10,000 crore by September 5. The case will be heard again today (Wednesday).
The Supreme Court, on August 31, 2012, upheld an order by the Securities and Exchange Board of India (Sebi) and directed Sahara India Real Estate Corp and Sahara Housing Investment Corp to refund investors, with 15 per cent interest, depositing the funds with the capital markets regulator.
“If, after the verification of details furnished, (Sebi) is unable to find out the whereabouts of all or any of the subscribers, then the amount collected from such subscribers will be appropriated to the government of India,” the Supreme Court had said.
Sebi had in 2011 ordered two Sahara Group firms—Sahara India Real Estate Corporation Ltd (SIREL) and Sahara Housing Investment Corporation Ltd (SHICL)—to refund the money raised from nearly 3 crore investors through certain bonds known as Optionally Fully Convertible Bonds (OFCDs). This order came after the regulator ruled that the funds were raised by the two firms in violation of its rules and regulations. The Supreme Court upheld this order.
Hundreds of people who invested in four cooperatives run by the Sahara group reportedly protested in Delhi on February 1 against the government’s failure to refund the deposits.
Sebi Chairperson Madhabi Puri Buch had last year said that the market regulator will continue its pursuit of the Sahara case despite the death of the conglomerate’s founder Subrata Roy.
First Published: Sep 03 2024 | 7:47 PM IST