Pay R10K crore to get bail: SC to Sahara chief

A bench of Justices KS Radhakrishnan and JS Khehar directed the Group to deposit the money as a pre-condition to secure release of Roy and two other directors, who were sent to Delhi’s Tihar jail by the court on March 4.

The bench asked the Group to pay Rs 10,000 crore, out of which Rs 5,000 crore is to be deposited before the court, and for the balance, a bank guarantee of a nationalised bank is to be furnished in favour of Sebi.

“On compliance (with this order), the contemnors (Roy and others) be released forthwith and the amount deposited be released to Sebi,” said the bench, while making it clear that not only the bail was temporary and but was also being given to facilitate Roy “to further raise the balance amount”.

During the proceeding, the bench turned down vehement requests by the counsel for Sahara to reduce the cash amount to Rs 2,500 crore since it was really difficult for the group to raise money without securing Roy’s release from jail. The counsel urged the court to let Roy first come out on bail and the group can subsequently deposit the money.

The bench rejected their plea, saying it had already considered everything and that the terms of interim bail were final. At one stage, senior counsel Rajiv Dhawan said that the bail condition could practically become impossible to be achieved and hence the court should allow Roy to come out and the money will be in within three days.

“No, that is not possible. We have already thought about all this and then passed the order,” retorted the bench. The court also sought a response from Sebi on the new repayment schedule by Sahara, under which it agreed to pay Sebi by March next year Rs 20,000 crore, that it has to return to the investors.