New Delhi: Sahara chief Subrata Roy who is languishing in jail since March 4, 2014 is in for more trouble with the Supreme Court directing the Reserve Bank of India to initiate proceedings under the RBI Rules and Regulations for diverting Rs 484.60 crores to Sahara after it encashed FDs, bonds and securities in violation of the rules.
A bench of Justices T.S. Thakur, Anil R. Dave and A.K. Sikri passed this order after senior counsel for RBI, Parag Tripathi brought to the court’s notice that Sahara had violated its order by diverting the funds as it was directed to deposit the money in SEBI-Sahara. The bench granted three weeks for the RBI to hear Sahara and pass appropriate orders.
The bench also restrained Sahara from selling other securities /bond and diverting the amount to other accounts. Mr. Tripathi said if the amount was not repaid, it should go the government treasury account. Senior counsel S. Ganesh, however disputed RBI counsel’s submissions and said that the encashed amount was utilsied to repay depositors /investors mostly in cash.
Sahara chief Subrata Roy is in jail as he is unable to avail bail for failing to mobilise Rs 10,000 crore towards surety, a condition imposed for his release on bail.
Justice Thakur pulled up Sahara for disbursing the amounts to depositors when the direction was to put this money in the separate account. Justice Thakur told Mr. Ganesh “how can you give the amount as loan to your own company.” Not satisfied with the reply that the transfer was made to other Sahara companies for repayment to depositors/investors, Justice Thakur said “your intentions may be good but how can you do it without our permission.” Justice Sikri told the counsel “your own auditor is saying that you have diverted the amounts by selling securities. It is hard to believe that the depositors are not willing to take back their deposits on maturity.”
Justice Thakur said “You should have come clean. Your problems are increasing. It is all your own making. Income tax, RBI, Sebi..we don’t know how many more will come against you”.Senior counsel Rajeev Dhavan, meanwhile pleaded with the court to extend the facilities provided to Roy in Tihar jail to negotiate with prospective institutions lending money to Sahara.
