Supreme Court rejects Sahara chief’s exemption plea

Sahara chief Subrata Roy and three other directors of the group have to appear in Supreme Court tomorrow at 2 p.m after the top court rejected Mr Roy’s plea for exemption from personal appearance.

During the last hearing on Thursday, the Supreme Court had summoned the Sahara chief on February 26 after the Securities and Exchange Board of India (Sebi) filed a contempt petition against Sahara.

“We have lost faith in you. You come to court and we know where to send you,” the top court had said on Thursday.

Today Rejecting Mr Roy’s plea for personal exemption, the Supreme Court said, “It involves not only the integrity of the Supreme Court but judges and lawyers involved in the matter. It is said order of the Supreme Court is not being complied with. We may retire but we will ensure and make sure our orders are complied with.”

Earlier, the Supreme Court barred Mr Roy from travelling abroad, until his company furnishes all the relevant documents pertaining to the source of money it claims to have repaid investors.

The Supreme Court, in August 2012, had ordered Sahara to refund Rs. 24,000 crore to millions of small investors after the judges ruled that the finance schemes run by two group companies were illegal.

Sahara had told the Supreme Court that it had refunded the money but Sebi said that it had not complied with the court’s order. The top court later asked Sahara to reveal the source of funds.

Sahara said it had deposited Rs. 5,000 crore with Sebi and given title deeds of properties to Sebi as guarantee towards payment of investors’ money amounting to Rs. 19,000 crore.