Supreme Court modifies order, says to deposit money in SEBI-Sahara account

Supreme Court of India.

New Delhi, March 21: The Apex Court on Tuesday revised its February order in the issue involving Sahara chief Subrata Roy with the Securities and Exchange Board of India (SEBI) over a dispute of paying money to crores of investors, saying the investors’ funds should be deposited in SEBI-Sahara account instead of the Supreme Court’s registry.

The Supreme Court also warned Sahara, saying it will auction Aamby Valley project if the latter fails to deposit the amount of Rs. 5000 crore in approximate.

The Supreme Court had in its last hearing ordered the Ghaziabad development authority to deposit Rs. 1,100 crore to the apex court registry for acquiring land from Sahara.

One international real estate company, M.G. Capital holdings, had told the Supreme court three-judge bench, headed by Justice Dipak Misra to purchase the London-based New York Plaza hotel, as the company wanted to buy Sahara stake in that hotel.

Subrata Roy was sent to Tihar jail on March 4, 2014 for not complying with the Supreme court’s orders in association with a long dispute with the market regulator SEBI.

The SEBI alleged that Roy allegedly failed to comply with the Supreme court’s order ordering him to return the investors’ money.

Sahara, once among India’s high-profile companies, has in the past made several failed trials to raise the bail amount using its prized overseas hotels that include the Plaza in New York and Grosvenor House in London.

Sahara says it has paid more than 80 percent of the dues to shareholders, but SEBI has contradicted that and said the company has not paid more than Rs. 10,000 crore. (ANI)