The Supreme Court on Wednesday asked the Sahara group to deposit another R200 crore as it extended its chief Subrata Roy’s parole until October 24.
The Supreme Court on Wednesday asked the Sahara group to deposit another Rs 200 crore as it extended its chief Subrata Roy’s parole until October 24. It also asked Sahara to give a road-map as to how it will discharge its liability to return R12,000 crore that it had raised from its 3.3 crore investors in 2008-09 through illegal bonds.
A bench led by Chief Justice TS Thakur while extending Roy’s parole also asked him for a detailed plan on how his two group companies — Sahara India Real Estate Corp and Sahara Housing Invest Corp — will refund R12,000 crore to Sebi. The next hearing is on October 24.
The apex court said that it has lost faith in Sahara because of its past conduct and said the scheme to repay R12,000 crore must be accompanied by an affidavit.
The Chief Justice further said: “You had said you have R1,87,000 crore worth properties. We had given enough time for you to sell your properties.”
Seeking more time for refunding investors, Sahara’s senior lawyer Kapil Sibal while indirectly referring to liquor baron Vijay Mallya argued that “there are people who had R6,000 crore liability but didn’t come back to India. But we had paid around R11,000 crore and will pay.”
Sebi argued that Sahara has paid around R11,000 crore out of the principal amount of R24,000 crore.
The bench also asked Sibal to sit with Sebi’s senior counsel counsel Arvind Dattar and amicus curiae Shekhar Naphade to come out with an agreed road map on how the money has to be repaid. It also sought Sahara’s response to the Sebi’s application that most of the properties given by the group for auctioning have been attached by the income tax authorities and there was no point in going ahead with the second round of auction.
The Wednesday’s order on extension of parole came less than a week after the top court had cancelled it over some “unwarranted” remarks made by Sahara’s senior lawyer Rajeev Dhavan on Friday. Dhavan had taken exception to a remark that his client would have to go back to jail if stock market regulator Sebi had to involve Sahara in the sale of the group’s properties.