SEBI freezes accounts of Sahara firms

The Sebi also ordered attachment of all movable, immovable properties of the firms, Subrata Roy and other top executives.

Passing two separate orders against Sahara Housing Investment Corporation Ltd (SHICL) and Sahara India Real Estate Corporation Ltd (SIRECL), SEBI said that the two companies had raised Rs 6,380 crore and Rs 19,400 crore respectively from bondholders and “various illegalities” were committed in raising of these funds.

Last week, Supreme Court had pulled up SEBI for not taking action against the companies, Sahara India Real Estate Corporation (SIREC) and Sahara Housing Investment Corporation (SHIC), as per its August 31, 2012 order which had asked SEBI to attach properties and freeze bank accounts of the companies.

The bench then asked SEBI to immediately follow its instructions.

The apex court had on August 31 last year directed the two companies of Sahara group to refund around Rs 24,000 crore to their investors within three months with 15 per cent interest per annum for raising the amount from its investors in violation of rules and regulations.

However, the group in December, 2012 was allowed to pay the money in three instalments, including an immediate payment of Rs 5,120 crore, followed by an installment of Rs 10,000 crore in the first week of January and remainder by the first week of February 2012.

In its orders passed today, SEBI said that neither of the two instalments was paid and therefore it is constrained to take necessary action as per the Supreme Court orders.

SIREC had collected Rs.19,400.87 crore on March 13, 2008 and SHICL had collected Rs 6,380.50 crore. The total balance on August 31 is Rs 24,029.73 crore after premature redumption. By this calculation the group may have to pay a total of around Rs38,000 crore, which includes the principal and interest of around Rs 14,000 crore.