Sahara chief Subrata Roy’s parole extended, Supreme Court asks him to deposit Rs 200 crore with SEBI
The Supreme Court ordered the Securities and Exchange Board of India to continue to auction the company's assets to recover part of the dues it owes investors.
The Supreme Court on Wednesday extended Sahara India chief Subrata Roy’s parole, allowing him to remain out of jail till July 11. However, the apex court directed him to deposit Rs 200 crore with market regulator Securities And Exchange Board Of India by July 11, failing which he will be sent back to Tihar Jail.
Moreover, the top court, which also granted Roy permission to travel within the country, directed SEBI to continue to auction Sahara’s properties to recover the dues it owes investors. Roy was granted a four-week parole last week to perform his mother’s final rites.
Roy, founder and chairman of Sahara India, was sent to Tihar Jail in March 2014, after he failed to comply with a court order, which directed him to refund money that was raised from investors by selling them bonds that were later ruled illegal. Sahara needs to arrange for Rs 10,000 crore – partly in cash and the remaining in the form of bank guarantees – to secure bail for Roy and two other directors in jail.
On February 2, Sahara had sought permission from the Supreme Court to sell its 42% stake in Formula 1 team Force India, four airplanes and its Sahara Star Hotel in Mumbai to raise Rs 3,000 crore of the Rs 10,000-crore bail bond set for Roy's release. The company had also said negotiations were underway to sell three of its overseas hotels – the Grosvenor House Hotel in London, the New York Plaza Hotel and the Dream New York Hotel.