SC rejects Sahara refund review appeal

Last Updated: Wed, Jan 09, 2013 19:43 hrs

The Supreme Court has rejected an appeal by diversified conglomerate Sahara seeking a review of a last year verdict to repay thousands of crores of rupees to investors of outlawed bonds.

Two Sahara group firms - Sahara India Real Estate Corporation Ltd (SIRECL) and Sahara Housing Investment Corporation Ltd (SHICL) - had appealed against Aug 31, 2012 order to refund Rs 24,000 crore with 15 percent interest to about three crore investors.

In its order dated Jan 8, the Supreme Court said, "We have carefully gone through the grounds raised in the review petitions filed by the appellants."

"We find none of the grounds have been made out for review of our judgment. We also do not find any inconsistency in the views expressed by both of us," it said.

"Even otherwise, all the records placed before us were meticulously examined and dealt with...Review petitions are, therefore, not entertained and, accordingly, stand dismissed," the court added.

Giving partial relief to Sahara, the Supreme Court last December gave it more time to repay the money to investors.

The apex court had 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 had 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.

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.

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