Supreme Court reserves order on Subrata Roy's bail plea

The Supreme Court (SC) on Monday reserved its order on Sahara chairman Subrata Roy's petition challenging its decision to send him to jail in the case relating to nonrefund of more than Rs 20,000 crore to investors.

A Bench of Justices K. S. Radhakrishnan and J. S. Khehar also agreed to consider Sahara's proposal to pay Rs 10,000 crore for getting bail for Roy and the two directors, who are in Tihar Jail in judicial custody since March 4.

In its new proposal placed on Monday, the Sahara Group assured the court that it will pay Rs 3,000 crore within three- to- four working days and another Rs 2,000 crore in cash by May 30. The Group also submitted that it would furnish a bank guarantee of another Rs 5,000 crore on or before June 20.

The apex court had earlier imposed a condition that Roy will be freed on bail only if he pays Rs 10,000 crore out of which Rs 5,000 crore has to be in bank guarantee and the rest Rs 5,000 crore in cash. Roy and the two directors are in judicial custody for not abiding by the SC's order for depositing Rs 20,000 crore of investors' money with the Securities and Exchange Board of India (Sebi).

Sahara submitted that Roy be released forthwith to facilitate negotiations with people for the purpose of raising money to comply with the court's order.

The Group also pleaded that its bank accounts frozen by the court on November 21 last year be defreezed.

Meanwhile, senior advocate Arvind Datar, appearing for Sebi, raised question on the account books of Sahara's firms, which was strongly opposed by Sahara. Roy had earlier submitted that the apex court's order for detaining him for not paying over Rs 20,000 of investors' money to Sebi was illegal and unconstitutional and sought quashing of the order.

Courtesy: Mail Today