The Supreme court of India on Wednesday directed Sahara Chief Subrata Roy to pay Rs 300 crore by September 16 2016 and extended his parole. Earlier in July, the Supreme Court had extended his parole following the death of his mother, till August 3 2016 on the condition that he paid Rs 300 crore of the Rs 500 crore promised by him. Senior advocate Kapil Sibal had appealed to extend the deadline to a year but the Supreme Court bench had declined the request saying that he had already been given a long rope. When Sibal argued citing problems with the selling of properties, the bench suggested the appointment of a receiver and entrusting him with all the property.
Roy had been in Tihar jail for two years for non-payment of Sahara shareholders. After repeated efforts to have Sahara refund Rs 19,000 crore to millions of shareholders went in vain, the court asked Sahara to submit documents of all of its land assets, which were then sent to capital market regulator Securities and Exchange Board of India (SEBI) to sell and get the refunds.
The company had submitted documents of land assets, worth about Rs 40,000 crore which were found to have many faults by the SEBI, making it impossible to sell the land. Roy had been arrested in Lucknow in February 2014, for evading two days of non-bailable warrant issued by the Supreme Court. He had failed to appear before the court in the case of the non-refund of Rs 20,000 crore to investors.