The Supreme Court, on Friday, asked Sahara and SEBI to formulate a mechanism for securing payment of around Rs.19,000 crore of investors’ money after the Subrata Roy-led group agreed to pledge its immovable property as security but market regulator Securities and Exchange Board of India (SEBI) questioned the sale deed and worth of the properties.
A bench of justices K. S. Radhakrishnan and J. S. Khehar asked the regulator and the Sahara group to sit together to find out mechanism and posted the case for hearing on October 28.
Referring to media reports that the group has recently purchased immovable property in London worth Rs.256 crore, the bench said that if the report was true then the group was well capable to pay the investors money with SEBI, and asked whether it could give bank guarantee for the amount.
Senior advocate C. A. Sundaram, appearing for Mr. Roy, submitted that the group could deposit the immovable property as security but it was opposed by SEBI’s counsel who, submitted that the company itself sell the property and pay the amount to the regulator.
The bench, thereafter, granted time to both parties to formulate a mutually acceptable mechanism.
The court was hearing three contempt petitions filed by SEBI against Mr. Roy, the two firms — Sahara India Real Estate Corp Ltd (SIREC) and Sahara India Housing Investment Corp Ltd (SHIC) — and their directors.