The Supreme Court today refused the plea of Sahara Group chief Subrata Roy seeking exemption from personal appearance before it in connection with the failure of his companies to refund Rs 20,000 crore to investors.
Roy’s plea was mentioned before a bench comprising justices K S Radhakrishnan and J S Khehar which said he has to appear tomorrow.
Senior advocate Ram Jethmalani, appearing for Roy, submitted that he will make the payment and he may be distanced with personal appearance in the court tomorrow.
However, the bench said Roy has not complied with its order and that is why he was summoned.
The bench had on February 20 come down heavily on the Sahara group for not refunding Rs 20,000 crore of investors’ money despite its order and summoned Roy, Ravi Shankar Dubey, Ashok Roy Choudhary and Vandana Bhargava, directors of its firms — Sahara India Real Estate Corp Ltd (SIREC) and Sahara India Housing Investment Corp Ltd (SHIC) to be personally present before it tomorrow.
It had allowed SEBI to go ahead with the sale of properties of the group whose sale deeds were handed over to the market regulator to recover Rs 20,000 crore.
“Those properties you can sell. We allow you to sell them and recover the money. If they are encumbered properties then you can file criminal case against the company. The case must be brought to a logical conclusion,” the bench had said.
It had raised question on the way the group has been defying its order for the last one-and-a-half years.
The bench had said SEBI can put those properties on auction and get the money after the market regulator had said let the company itself sell the properties and deposit the money.
The apex court in its judgement of August 31, 2012 had directed SEBI to attach properties and recover the money.
Sending a clear message that the court is not “helpless” in taking action for flouting its directions, the apex court had on November 21 last year barred Roy from leaving the country and also restrained the group from selling any of its properties.