SC orders auction of Sahara’s Aamby Valley worth Rs. 39,000 crore

SC orders auction of Sahara's Aamby Valley worth Rs. 39,000 crore
SC orders auction of Sahara's Aamby Valley worth Rs. 39,000 crore

New Delhi, April 17: The Supreme Court has ordered to conduct the auction of Sahara’s Aamby Valley, as the business conglomerate’s alleged failure to deposit money for refunding to its investors.

Earlier in February, the Supreme Court has ordered to attach the group’s flagship Aamby Valley project worth Rs. 39,000 crore, near Lonavala in Maharashtra. Despite Sahara’s opposition, the court declined to provide any relief to the group. The Supreme court also asked Sahara to submit a list of properties by February 20 that can be auctioned. However, the Supreme Court extended the parole of Sahara chief Subrata Roy after the group deposited Rs. 600 crore with Sebi, the capital markets regulator.

The Sahara group has been engaged in a long running legal battle with Sebi over refund of Rs. 24,000 crore to investors. The capital market regulator told the court that Rs. 14,779 cores is due from Sahara towards principal. The Supreme Court said it will deal with payment of principal amount first and the interest later. The next hearing is scheduled for February 27.

Roy was first arrested in March 2014 after Sahara failed to comply with a court order to refund the money raised from millions of small investors by selling them bonds later ruled to be illegal. He was granted parole when his mother died in May and it has been extended several times.

The Supreme Court had in March asked Sebi to start the process of selling some of embattled conglomerate Sahara’s real estate assets in the country to refund millions of investors. Following the Supreme Court’s directive, Sebi had put on block several Sahara properties to recover the amount. These properties are spread across the country and mostly include land parcels.