Sahara slams Sebi for plea to arrest Roy

Sahara slams Sebi for plea to arrest Roy

Sahara group on Friday accused Sebi (Security and Exchange Board of India) of leaking information to the media and of seeking publicity by filing the status report and Interlocutory Application (IA) in the Supreme Court.

Reacting to the market regulator’s decision of moving the Supreme Court seeking arrest of Sahara group promoter Subrata Roy, Sahara issued a statement claiming that Sebi has asked for civil detention of the promoter and directors of the company “knowing fully well that such provisions of Code of Civil Procedure (CPC), prescribing the same as a mode of execution of decree do not apply to Sebi.”

The group further claimed that “under the Sebi Act, the application of CPC is clearly barred and ruled out and also the fact that no question of any such non-compliance, on the part of Sahara officials do arise in view of the entire unpaid amount having been deposited with Sebi and the records of redemption made submitted to them for verification”.

The statement said that the court “did not find any urgency and advised for listing of the matter in due course, after Holi vacations”.

Sahara has deposited TDS on the interest paid to the investors on behalf of the two Sahara companies with the Income Tax authorities. The TDS deposited is more than Rs 700 crore. “These true facts are never reported to the media by Sebi,” said the statement.

Sahara also claimed that it has repaid all the outstanding liabilities except for an amount of less than Rs 5,120 crore, which it has paid to Sebi.