Press Esc to close
Thursday 05 March 2015
News updated at 11:59 AM IST
Weather
Max: 31.7°C
Min : 16.9°C
In Bengaluru
clear sky

SC pulls up Sahara chief

New Delhi, April 22, 2013, DHNS:
File photo.

The Supreme Court on Monday sought an explanation from Sahara group promoter Subrata Roy and two other directors as to why they should not be detained for their failure to refund Rs 24,000 crore to investors.

A bench of Justices K S Radhakrishnan and J S Khehar also chided Roy for “manipulating” courts and trying to make the case an “endless exercise”.

The court pulled up the group for failing to respond to its contempt notice for not initiating action for their alleged breach of its orders on refunding the money to the investors and depositing all documents with the Sebi for verification of investors and payments.

The Sebi has sought detention of Roy and directors Ashok Roy Choudhary and Ravi Shankar Dubey, in view of their “open, continued and consistent defiance” of the directive to refund money.

Before giving Sahara a week to respond to Sebi’s contempt petition and another plea seeking top brass detention, the court asked, “Are you supposed to sit and relax when notice is issued to you? We think you are trying to make the case an endless exercise.”

The court had in August 2011 asked two Sahara firms -- Sahara India Real Estate Corporation (SIRECL) and Sahara Housing Investment Corporation (SHICL) – to refund Rs 24,000 crore collected from investors through “illegally” raised optionally fully convertible debentures (OFCDs) by November 30 last year.

‘Very strange’

The bench described as “very strange” Sahara’s bid to seek extension of time and other reliefs from various fora despite the SC order.

“What has been happening? You are filing appeals after appeals. Why did you move the Allahabad High Court against the Sebi attachment order? How can you go to the HC? You are manipulating courts. Attempts are made to overreach orders of this court. We are surprised with what you are doing. We will take it seriously” the bench said.

The bench rejected an argument advanced by Sahara’s counsel that they were compelled to approach HC and SAT as the Sebi had gone beyond the scope of the SC order by passing certain orders, including attachment of personal properties of the directors.

The court said, the Sebi was at liberty to take any action it felt necessary to make its directives enforceable.


Go to Top

Photo Gallery
Chief Minister Siddaramaiah at the inauguration of Emerging Manufacturing Entrepreneurs Resource Gro

Chief Minister Siddaramaiah at the inauguration of Emerging Manufacturing Entrepreneurs Resource Gro

Delhi Chief Minister Arvind Kejriwal meeting with a delegation of various Bar Associations of Delhi

Delhi Chief Minister Arvind Kejriwal meeting with a delegation of various Bar Associations of Delhi

BJP MP Jagadambika Pal celebrates Holi with TMC member Saugata Roy at Parliament

BJP MP Jagadambika Pal celebrates Holi with TMC member Saugata Roy at Parliament

A widow daubed in colours dances in the Holi celebrations organised by non-governmental organisation

A widow daubed in colours dances in the Holi celebrations organised by non-governmental organisation

Students of a gurukul take a water conservation pledge and also pay tribute to swine flu victims

Students of a gurukul take a water conservation pledge and also pay tribute to swine flu victims

Andhra Pradesh Chief Minister N Chandrababu Naidu celebrates holi with traditional artistes

Andhra Pradesh Chief Minister N Chandrababu Naidu celebrates holi with traditional artistes

Ireland's George Dockrell is bowled for 25 runs by South Africa's Morne Morkel to end their Cricket

Ireland's George Dockrell is bowled for 25 runs by South Africa's Morne Morkel to end their Cricket

The debris is being cleared after landslides on Jammu-Srinagar Jammu National Highway

The debris is being cleared after landslides on Jammu-Srinagar Jammu National Highway

Artist staged a play Visa Nirikshaneyelliddaga at the inauguration of Dalita Natakotsava

Artist staged a play Visa Nirikshaneyelliddaga at the inauguration of Dalita Natakotsava

Badly damaged road in Bengaluru

Badly damaged road in Bengaluru

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523