Sahara case hearing deferred to Wednesday

NEW DELHI Tue Dec 4, 2012 4:24pm IST

1 of 2. Cattle move past a Sahara advertisement board installed at a township under construction, owned by Sahara group on the outskirts of Ahmedabad September 20, 2012.

Credit: Reuters/Amit Dave

Related Topics

Stocks

   

NEW DELHI (Reuters) - The Supreme Court of India deferred until Wednesday a hearing over the Sahara conglomerate's failure to meet the court's guidelines to repay billions of dollars it had raised from investors through bond sales that were later ruled to be illegal.

On August 31, the court had asked Sahara to repay within 90 days as much as 240 billion rupees to up to nearly 30 million mostly small investors, plus interest of 15 percent a year.

Sahara said in newspaper advertisements on Saturday it had "cleared" about 330 billion rupees to investors in the so-called optionally fully-convertible debentures and had maximum outstanding liability of 51.20 billion rupees, which it was ready to deposit with the authorities.

SEBI said in late October it had received complaints from investors that they were being "forced" by agents and officials of Sahara to switch the money held through the outlawed bonds to other investment products sold by the group.

A member of a two-judge Supreme Court bench on Monday said Sahara had defaulted on paying the money as ordered by November 30, the Economic Times newspaper reported.

The Supreme Court said it would hear the case on Wednesday, after a lawyer for Sahara sought more time to reply to why the group had not complied with the court's order.

The unlisted Sahara, whose interests range from real estate to insurance and sports, is a household name in India, where it is the lead sponsor of the national cricket team. It recently bought New York's Plaza Hotel, and had earlier bought the Grosvenor House hotel in London.

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Canada Shooting

Canada Shooting

Attack on parliament, killing of soldier stun Canada's capital.  Full Article 

Earnings Season

Earnings Season

Wipro sees rosier end to year as U.S. clients spend.  Full Article 

Business Climate

Business Climate

Fears for tough penalties grow as India cleans up business  Full Article 

New Email Service

New Email Service

Google launches new email service dubbed "Inbox".  Full Article 

DLF Appeals

DLF Appeals

DLF seeks interim relief from capital market ban  Full Article 

Falling Oil Prices

Falling Oil Prices

Indian consumers respond to softer oil, food prices  Full Article 

Book Keeping

Book Keeping

RBI fires warning shots on companies' lack of FX hedging.  Full Article 

Policy Repo Rate

Policy Repo Rate

Most external members suggested rate cut in RBI's Sept review.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage