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Feb 13, 2013, 11.36 PM IST | Source: Moneycontrol.com

Total liability not likely to exceed Rs 5,120cr: Sahara

The Securities and Exchange Board of India (SEBI) on Wednesday cracked down on Sahara group, freezing more than 100 bank accounts of two of its companies. Sources said that the immovable assets of the two companies were also frozen.

Moneycontrol Bureau

In a press statement, Sahara claimed that its total liability was not likely to exceed Rs 5,120 crore. The Securities and Exchange Board of India (SEBI) on Wednesday cracked down on Sahara group, freezing more than 100 bank accounts of two of its companies. Sources said that the immovable assets of the two companies were also frozen.

The SEBI also attached the assets and properties of Sahara India Real Estate Corporation (SIREC) and Sahara Housing Investment Corporation (SHIC).

Here is Sahara's statment:

"According to Sahara, the total liability is not likely to exceed Rs 5,120 crore, which amount has already been deposited with SEBI. As regards the instalments to be deposited with SEBI, as per the order of the Supreme Court, Sahara has filed interim application before the Supreme Court inter alia praying that Sahara be permitted to furnish security through a  credible financial institution instead and in place of the payment of the  balance instalments, since Sahara has already redeemed a significant number of OFCD holders and any further payments to SEBI would amount to double payment. The said interim application is pending and is likely to come up for hearing next week.

Further, SEBI's order on Wednesday for attachment of the assets is based on facts and details of assets as of January 2012.  Since then, the facts have changed in view of redemptions made by Sahara from time to time. This fact of redemption was known to SEBI. Hence, Wednesday’s order does not take into account the changed facts and circumstances.

As per the order of the Supreme Court, the liability to refund the monies is of SIRECL and SHICL. Hence, attachment of assets of individuals by SEBI is incorrect. The company has not only paid SEBI an amount much higher than outstanding liabilities of two companies and the fact also remains that during the whole affair, Sahara ia genuinely concerned for investors.

There are number of companies in India including the Golden Forest Company where after the Supreme Court’s order to repay and a committee was appointed (whose chairman was a retired Chief justice of Delhi High Court) and the order was followed."

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