Sahara Group moves apex court in refund case

Last Updated: Fri, Nov 30, 2012 20:51 hrs

The Sahara Group today moved the Supreme Court (SC) against the order of the Securities Appellate Tribunal (SAT) dismissing its appeal against market regulator Securities and Exchange Board of India (Sebi) in a case involving refund of about Rs 24,000 crore with interest to thirty million investors.

A bench headed by Altamas Kabir listed the matter for hearing on Monday.

The counsel for Sahara told the bench the company was ready with a draft of Rs 5,100 crore for deposit in SC’s registry.

In their appeal before the SAT, two Sahara Group firms had sought the Tribunal's intervention in refund of the investors’ money and had accused the market regulator Sebi of wrongly charging them of non-compliance with a SC order in that regard.

The Tribunal said any further direction in the case could be sought and granted by the SC alone and dismissed the appeal.

SC had asked Sahara India Real Estate Corporation and Sahara Housing Investment Corporation to refund an estimated Rs 24,000 crore with an annual interest of 15 per cent, while Sebi was directed to facilitate the refund of this money to about thirty million investors of the two firms. The court had asked the companies to furnish the documents related to these investors to Sebi in 10 days and refund the money within three monthsfailing which the regulator was asked to freeze the accounts and attach properties of the two firms.

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