Sebi directs Sahara group, its chief Subrata Roy to refund Rs 141 bn

Regulator bars Sahara firms, Roy and its directors from dealing in securities markets for a period of 4 years

In fresh trouble for the Sahara group, the Securities and Exchange Board of India (Sebi) has directed its group firms and directors, including Subrata Roy, to pay back Rs 141 billion with 15 per cent annual interest to investors, saying the fundraising was in contravention of norms laid down under the Sebi Act and the Companies Act on public issue of securities.

The markets regulator said Sahara India Commercial Corporation (SICCL) raised the amount from 19.84 million investors by way of optionally fully convertible debentures (OFCDs) between 1998 and 2009.  

In a 54-page order, Sebi said Roy and 14 other