SC reserves order on issues relating to Sahara chief's release

The Supreme Court today reserved its order on various aspects relating to release of Sahara Chief Subrato Roy from jail saying it would decide how more money has to be paid and as to when SEBI may encash the bank guarantee in future.
A three-judge bench headed by Justice T S Thakur, while reserving the order, asked the counsel of Sahara Chief to furnish the "scheme" within two weeks giving details as to how the group proposes to proceed with the sale of its assets and payment to the SEBI.
The apex court on August 31, 2012 had said the group was required to refund Rs 24,000 crore with 15 per cent interest in three months to the depositors.

It had on March 26, 2014 asked 65-year-old Roy, who has been in Tihar Jail since March 4, 2014, to pay Rs 10,000 crore to get bail, out of which Rs 5,000 crore should be paid in cash and rest in bank guarantees.
During the hearing today, a battery of senior lawyers led by Kapil Sibal sought release of Roy from jail saying that he will by submitting a scheme on repayment in July and he can be sent back he defaults.
"As a goodwill gesture, please release him. Please give six weeks time to him and he be sent back to jail if he does not do the needful," Sibal said, adding "keeping him in jail does not serve any body's purpose".

"Please do not feel that we are insensitive... And for last 16 months, we had been asking your client about the payment of money," the bench, also comprising justices A R Dave and A K Sikri, said.

The counsel for Sahara also sought an order from the court that it be allowed to sell 72 properties attached by the SEBI.
"Tell us which property you (Sahara) want to sell," the bench, which also sought to know the views of SEBI on the issue, said.
At the outset, the bench, after being shown the format of bank guarantee to be furnished by the Sahara Group, posed a query as to what will be the "trigger" or the "situation' when SEBI may proceed with the encashment of bank guarantee.

"The question is when can the bank guarantee be encashed? What will be the trigger and when and how you (SEBI) can seek encashment of bank guarantee. What is the default that will force you encash the bank guarantee," the bench said.