Sahara gets more time to repay investors

Last Updated: Wed, Dec 05, 2012 18:38 hrs

Giving partial relief to Sahara Group, the Supreme Court on Wednesday gave it more time to repay Rs 24,000 crore with 15 percent interest to about three crore investors in its two companies.

The apex court directed Sahara Group to immediately give a demand draft of Rs 5,120 crore to market regulator Securities and Exchange Board of India (SEBI).

The bench headed by Chief Justice Altamas Kabir asked Sahara Group to deposit the balance amount to SEBI in two installments.

The bench directed it to deposit the first installment of Rs 10,000 crore by first week of January next year and the rest by first week of February.

The court on Wednesday said it has modified its Aug 31 order.

It also directed the Sahara Group to submit relevant documents to SEBI within 15 days.

Earlier on Aug 31 in an order, the apex court had directed Sahara India Real Estate Corporation (SIREC) and Sahara Housing Investment Corporation (SHIC) to refund the money to their investors within three months with 15 per cent interest per annum.

If the unlisted companies failed to do so, the SEBI can attach properties and freeze bank accounts of the companies, the court had ruled.

The court had also directed the Subrata Roy-controlled group to hand over all documents submitted by the investors to SEBI in order to verify the genuineness of the investors.

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