Mumbai/New Delhi, 16 November: The Securities and Exchange Board of India (SEBI) Chairperson Madhabi Puri Buch on Thursday said the market regulator will continue its case against the conglomerate even after the death of Sahara Group founder Subrata Roy on Tuesday.
SEBI chief Madhabi Puri Buch said this while addressing the press on the sidelines of a program of the Federation of Indian Chambers of Commerce and Industry (FICCI) here. Buch said that for SEBI, this matter is related to the conduct of an institution, so the matter will continue whether the person is alive or not.
In response to a question about returning undistributed funds of Sahara Group to investors, the SEBI chief said that there is a committee under the Supreme Court, we all take action under the same committee.
In fact, after the death of Sahara Group chief Subrata Roy, many questions are being raised regarding the undistributed amount of more than Rs 25 thousand crore lying in the SEBI account. Roy had to face many legal battles regarding his group companies. There is also an allegation of bypassing the rules in Ponzi schemes. However, his group has always rejected these allegations.
Market regulator SEBI had in 2011 passed an order against two Sahara group companies, Sahara India Real Estate Corporation Limited (SIREL) and Sahara Housing Investment Corporation Limited (SHICL). Sebi had ordered the refund of funds raised from around three crore investors through certain bonds known as Optionally Fully Convertible Bonds (OFCDs).
