SC stays SAT order to 2 Sahara firms to refund investors

In a relief to the Sahara group, the Supreme Court today stayed the Securities Appellate Tribunal (SAT) order directing its two companies to refund around Rs 17,400 crore to their investors and asked for the details of their assets and liabilities.

In a relief to the Sahara group, the Supreme Court on Monday stayed the Securities Appellate Tribunal (SAT) order directing its two companies to refund around Rs 17,400 crore to their investors and asked for the details of their assets and liabilities.

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A bench headed by Chief Justice SH Kapadia directed the two companies to file a detailed affidavit explaining as to how it will protect the interests of their 2.3 crore investors who have put in their money in Sahara India Real Estate Corporation (now known as Sahara Commodity Services Corporation Ltd) and Sahara Housing Investment Corporation.

The bench directed the companies to place before it their 2010-11 balance sheets and statements of accounts for November 2011 by January 8, the next date of hearing.

"Net worth of the companies particularly assets against which liability has been created, financial statements including balance sheets of 2010-11 and statements of accounts of the companies of November 2011 shall be mentioned in the affidavit," the bench said.

It also said the affidavit will also show how the firms are to secure liabilities that they have undertaken and protect the investors.