Sahara-Sebi refund dispute: SC to hear case on returning money to investors

Sebi had registered a case against Sahara companies, Subrata Roy and three directors, alleging that they collected money from investors without listing the securities on the stock exchanges.

The Supreme Court will hear on Monday a case involving Sahara India’s chief Subrata Roy and the Securities and Exchange Board of India (Sebi) over a dispute of returning money to its investors.

Sahara companies and Subrata Roy have been accused of collecting a huge sum of money from investors without listing the securities on the stock exchanges. (PTI file photo)

The apex court had extended Roy’s parole in the earlier hearing.

On May 18, Roy did not appear before the Sebi court after filing an exemption application on medical grounds. However, the special Sebi court rejected Roy’s plea.

The Sebi court was to frame charges in the case against Roy and his three group firms’ directors -- Ravishankar Dubey, Ashok Roy Choudhary and Vandana Bhargava.

On April 21, a Sebi court had cancelled the non-bailable arrest warrants against Roy and three of his group firms’ directors after they appeared before it in a case filed by the Sebi against them.

The Sebi court cancelled the NBWs against them after they furnished fresh bail bonds of Rs 2 lakh each and gave undertakings to the court that they would attend its trial proceeding against them regularly.

The Sebi had registered a case against Sahara India Real Estate Corporation, Sahara Housing Investment, their promoter Subrata Roy and the three directors in 2012, alleging that these companies had collected a huge sum of money from investors without listing the securities on the stock exchanges.