 "Sahara Group faces urgent Supreme Court directives to deposit ₹1,000 crore or risk losing valuable Mumbai land in ongoing legal turmoil.")
The Supreme Court has ordered the Sahara Group to deposit Rs 1,000 crore into an escrow account within 15 days and is allowing them to form a joint venture to develop their Versova land in Mumbai. This is part of a broader effort to ensure the return of Rs 10,000 crore to investors, as mandated by a 2012 ruling. The court warned that if the joint venture agreement is not submitted within the deadline, they would proceed to sell the land. The Sahara Group has faced ongoing scrutiny for failing to comply with court orders for over a decade, and the hearing has highlighted their ongoing financial challenges.
The Supreme Court of India has recently made a significant ruling regarding Sahara Group, ordering them to deposit Rs 1,000 crore into a designated escrow account within 15 days. This decision comes as the group seeks to develop its land in Versova, Mumbai, aiming to generate Rs 10,000 crore to comply with a long-standing court order from 2012. The funds are intended to be used for returning money to investors who have been awaiting refunds.
The court, led by Justices Sanjiv Khanna, MM Sundresh, and Bela M Trivedi, emphasized that if Sahara fails to file a joint venture agreement within the stipulated time, it may have to sell off its 12.15 million square feet of land at Versova. The bench expressed frustration over the Sahara Group’s lack of compliance over the past decade, noting that the financial situation has not improved significantly since the initial court directives.
Sahara Group companies, including Sahara India Real Estate Corporation Ltd and Sahara Housing Investment Corporation Ltd, have been permitted to enter into joint ventures for other properties like the Aamby Valley project, but all agreements require court approval.
Both Sahara and SEBI presented their respective claims regarding the principal amount owed to investors, highlighting discrepancies that have left many questions unanswered. The court has mandated that any proceeds from property sales must be deposited in the SEBI-Sahara refund account and set strict conditions for such transactions.
With these developments, the court hopes to bring clarity and expedite the refund process for Sahara’s investors, who have been waiting for resolution since the initial orders were issued over 10 years ago. The situation remains closely monitored, with the next hearing scheduled in a month.
Tags: Sahara Group, Supreme Court, SEBI, Investor Refunds, Joint Venture, Mumbai, Aamby Valley, Versova Land, Financial Compliance, Legal News
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What did the Supreme Court ask Sahara to do?
The Supreme Court ordered Sahara to deposit 1,000 crore rupees. -
Why is Sahara being asked to deposit this amount?
Sahara is asked to deposit this money as part of its ongoing legal issues and financial obligations. -
What is the joint venture (JV) for?
The joint venture is set up to develop land in Mumbai. -
How will the development of the Mumbai land benefit the company?
Developing the land could bring in more money and improve Sahara’s business prospects. - What happens if Sahara does not deposit the amount?
If Sahara doesn’t deposit the money, it could face further legal actions or penalties.
