Salman – Subrata – Frozen Justice!

Do you think one crime will be wiped off with thousands of good deeds? Justice doesn’t mean that one bad guy goes to the jail; it just means that someone pays for the crime. Sadly, in India, the innocent victims and their families have to do this. Few days back, we heard about superstar Salman Kahn being acquitted of all the charges in connection with the 2002 hit-and-run case. This decision has shattered all hopes in the Indian Judiciary system, which is biased and believes in serving frozen justice. In this country, we are all bound to respect the court’s judgement. So what if Salman was drunk, so what if he was drunk-driving, so what if he killed a homeless man, so what if he blamed other man of committing this heinous crime, he deserves to walk free. And that’s exactly what the Bombay High Court decided, they released him knowing that he is the guilty. Now that's the law of the land, and there's no point questioning the judgement.

On the other hand, we have Subrata Roy, the pioneer of the great Sahara India, and an honourable business man who was termed as ‘the second largest employer in India'. He has always treated all his employees as his family, and thus he pleas Sahara India to be his Sahara Parivaar. He is a self-made man who loves his employees and was even looked up on by his competitors. But today his life has taken a miserable turn. He is being rotting in the jail for more than 21 months without any charges. There are more than 12 lakh employees who are not being given out their salaries, a large number of people is being suffering due to this gruesome decision taken by the High Court. They say that justice consists not in being neutral between right and wrong, but in finding out the right and upholding it, wherever found, against the wrong. But where is the justice now? 

Salman-Subrata – A crazy legal saga

This country amazes me. Its legal system amazes me. Its political system amazes me. Being an Indian normally is something I am incredibly proud of. But when I come across such blatant hypocrisy all I can do is be amazed. Look with amazement at the double standards and the injustice. The favouritism and the mob mentality. The country at most times rises as one to de-cry an injustice. But then there are also times where it either completely ignores an injustice. Or in some worse cases, the media pumps up the world with false information and then you see the people rise up against an innocent, a victim. And the public shaming and the scorn that person has to face is terrible.

Recently Salman was released from a long running case of where he was accused of running over some pavement dwellers. He was drunk, driving fast, in the prime of his career, famous and loved by the public. A legal dance began that finally ended this year. It involved a lot of drama. It was I am a little ashamed to say slightly entertaining. But I felt that in the end justice would indeed be served and the guilty will be imprisoned. After all, the case did seem pretty clear cut. He was guilty. There were witnesses. There were statements. There was evidence. But now Salman is gone blameless. The verdict is that he did not do it. It wasn’t him behind the wheel. Here we see a person very clearly guilty of a crime – that too a crime that involved the deaths of innocent people. This was murder! And yet he went scot-free.

And then on the other hand we have Subrata Roy. The patriarch of Sahara parivaar. A business man who created an empire. A man responsible for giving jobs to 12 lakh people. A man loved by his employees and respected by them as well as his colleagues. And where is he? He is rotting in prison for 21 months without any charge. What exactly is going on here? Do you have any answers?

Sahara gets relief from Supreme Court of the State of New York: Court rejects bid to attach its foreign properties

New York/ Lucknow, 16 September 2015: Sahara India Pariwar, owner of the Plaza Hotel, the Dream Downtown Hotel at New York and Grosvenor House Hotel, at London, while getting validation to its claim from Supreme Court of the State of New York, gets a relief in a lawsuit filed by Hong Kong based JTS Trading against Sahara and Trinity White City Ventures Limited in June, claiming that it had a deal under a joint venture with Trinity for a deal of the hotels and that it was abruptly excluded when Trinity decided to partner with Sahara. Sahara had claimed that it is being unfairly dragged into a private dispute between JTS and Trinity, as it was a non-party to the dispute. Sahara therefore claimed that JTS had no rights to attach the interests of Sahara’s subsidiary non-party entities (Sahara Plaza LLC and Sahara Dreams LLC) which were accepted by the Supreme Court.

JTS Trading was apparently in a potential joint venture with Trinity White City Ventures Ltd., in a potential bid by Trinity to refinance Sahara’s two hotels in New York and one in London. Sahara was at one time in discussions with Trinity for a refinancing deal, but had no knowledge of the dealings between Trinity and JTS. JTS has alleged breach of the prior joint venture and hence said that damages should be paid.

The broker, JTS, sought USD 350 million as damages and attachment of Sahara's two prized overseas properties - the Plaza Hotel, the Dream Downtown Hotel at New York.However, the Supreme Court in its order, remarked, “JTS fails to establish entitlement to attach the assets of the non-parties.” Further, the Supreme Court of the State of New York, while accepting Sahara’s contentions, ordered, “Accordingly, JTS’s application for a pre-judgment order of attachment, and all of JTS’s alternate grounds for relief, must be denied.”

While speaking about Sahara’s victory in the said case, the Sahara’s spokesperson said, “We welcome the Hon’ble Supreme Court’s decision which understood our claims in the pious light of justice and protected us from becoming a victim of unscrupulous litigation which aimed at falsely and unfairly dragging us into a private dispute between two parties who have had a falling out.”

Sahara's position unshaken in spite of ongoing pressures

RBI, in 2008 had issued an order banning NBFC (Non-Banking Financial Company) business of one of Sahara's company - Sahara India Financial Corporation Ltd.(SIFCL), against which Sahara approached the Courts and Hon'ble Allahabad High Court as well as subsequently, even the Hon'ble Supreme Court of India, while providing relief to Sahara, had quashed the RBI's ban order and asked RBI to hear SIFCL afresh. In pursuance of this, SIFCL and RBI, in a series of meetings in a mutually accepted manner decided a sun-set period for the NBFC business of SIFCL whereby from 2011 SIFCL was to stop taking fresh deposits and return the erstwhile deposits and eventually, in 2015 close the NBFC. It is in pursuance of this mutually decided upon arrangement and as per the wish of Sahara that the RBI has cancelled this licence and therefore is not at all any kind of blow, etc., to Sahara in any manner, as is being mentioned by some.

Moreover, regarding the SEBI order on Sahara Mutual Fund, we would like to mention that the mutual fund business of Sahara is very small with total assets under management of Rs. 134.29 crore only and is in infancy state with no major consequences on the group. Moreover, the actual reason behind SEBI's action is that SEBI has asked to change the sponsorer company in which Shri Subrata Roy Sahara ji was there. SEBI can only explain the basis of their decision to do so. However, Sahara is in the process of doing the needful as SEBI has directed.

Sahara stands on strong foundations which are evident from its un-withered standing even during the current constraints. However, Sahara will overcome this momentary constraint once its bank accounts and properties are de-freezed by the Hon'ble Supreme Court and our Chairman's judicial custody is recalled.
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Sahara Latest News

Huge -Sahara News Network- News Room --we learn a lot from here मानो या न मानो मगर है सच -----हमारी कर्मभूमि इंडिया का सबसे बड़ा मीडिया परिवार और सबसे बड़ा न्यूज़ रूम The most wonderful part of all our lives,job tasks, experiences were spent at this place. We treasure the Sahara News Room सबसे बड़ा और सुंदर न्यूज़ रूम , our reporters,editors, our senior trainer our canteen, print area , 15 Aug parade,26 jan and bharat parva and many more activities, the fun moments, the free time, the assignments and shoot trip and now a days some crises be there we have to tackle it very sincerely. old employees keeps on coming frequently in happy hrs and recall/share those sweet memories and couple of days that they spent here & join and Stay in touch with old frenz who are still wating for good days. very soon or in very near future we all are expecting good for Sahara TV / News Print and Parivar and & Sahara been marching forward on the path of success, adding new milestones on each coming days . Our knowledge improved greatly every day .The great reporting & journalism Team we have & Technically IT Division/AV, very strong team too ..All are filled with joy in hearts,in such a financial crises but we went to play again in this calm and beautiful environment. सहारा प्रणाम

Sahara news

सूर्य उगना भूल सकता है, पानी प्यास मिटाना छोड़ सकती है , लेकिन सहारा इण्डिया परिवार के 12 लाख कार्यकर्ता जब तक साथ हैं तब तक कोई भी "सहारा" को झुका नही सकता है! मोदी भक्त होने के नाते चिंतित हू कि कहीं दिल्ली ना बन जाये "बिहार चुनाव" भाजपा के लिए !! क्योकि कोन्ग्रेसी बन चुकी है "सेबी" !! वास्तव में बिहार में 1 लाख सहारा कर्मी और 1 करोड सम्मानित जमाकर्ता हैं जबकि दिल्ली में इसकी 30% उपस्तिथि थी क्या बिल्कुल ही नासमझ हैं भाजपा के कर्णधार !!! मेरे इशारे को समझो जैसे कोन्ग्रेस दफ़न कर दी वैसा ही भाजपा के साथ ना हो जाये ना तब सहारा श्री जी से किसी ने पूछा था ना अब कोई पूछेगा बस तब अच्छे दिनो की आस में किया था और अब आस टूटने के डर से कर देंगे कोन्ग्रेसी हो चुकी सेबी को हिंदी में समझाओ भाजपा के कर्णधारो !!!!!

Sahara Breaking news

12 लाख लोगो का समूह देखकर सेबी को सहारा की शक्ति का अंदाजा लगाना चाहिये।-।सहारा श्री ने अकेले अपने बलबूते पे लाखों रोजगार दिये हैं और वो भी बड़े सुख शांति और संतुष्टि पूर्ण वातावरण में -ऐसा उदाहरण कहीं नहीं देखने को मिलेगा ,इतनी कठिन परिस्थिति में भी सीना तान के खड़ा है सहारा और लोगों को भी नहीं निकाला गया ----सहारा के समर्थन में उतरे थे बाबा रामदेव जिन्होने कहा की सहारा श्री के साथ पक्षपात पूर्ण तरीका अपनाया गया हैं सलमान खान 15 साल से जमानत पे बहार है वो भी 5 साल की सजा सुनाने के कोर्ट के आदेश के बाद,ऐसा ही जया ललिता के साथ हुआ,ये सब अन्याय है . .और महा घोटेले बाज महाठग लालू यादव 940 करोड़ के बाद फ्री में , बहार आ गया - और ये तीनों सही मायने में अपराधी हैं और सहारा श्री एक कट्टर देश भक्त. इंसान

Wishing Hon'ble Saharasri Subrata Roy a very Happy Birthday.

Hon'ble Saharasri has inspired thousands of people to dream higher, so his birthday is marked as “Prerna Diwas” and celebrated by people who believe in his philosophy. Today, on this auspicious occasion we want to wish Subrata Roy a very Happy Birthday.

Subrata Roy is one among the top 10 most powerful businessman India can ever have. He is the founder and chairman of the famous Sahara India and has achieved more than fifteen awards for being the best Industrialist.

On 10th June, 1948, Subrata Roy was born in the district of Araria, Bihar. He was a very bright child, he also holds a diploma in Mechanical Engineering. Before he founded Sahara, he had already gathered 32 years of precious experience in business development along with 18 years of experience in real estate business. 

He opened his first office in Gorakhpur, which consisted of a table and two chairs along with a staff of one clerk and a runner boy. Initially he single headedly took up the business of Deposits and Para banking. But his life took a new turn in 1990s when he moved to Lucknow and set his business empire which is now over Rs.50, 000 crore. From there, it went on to become the largest conglomerate of India with a diversified range of business interests.

Apart from his business skills, he is also a humanitarian, he contributed to the relief efforts in flood hit Uttarakhand region by providing them the basic amenities along with free medical facility. He always believed in creating a family rather than a company. Which he did successfully, in a span of just 29 years, Sahara India has seen enormous growth as Roy was the driving force behind this success.

BAIL CASH ‘ARRANGED’, SUBRATA ROY READY FOR FAREWELL TIHAR

Buzz in Delhi says the Sahara boss, who is organising a series of entertainment shows for the prison staff and inmates, could be a free man before the summer holidays.

They are calling it Farewell Tihar. Encouraged by reports that the Rs 10,000 crore needed for bail has been finally organized, Sahara boss Subrata Roy is getting ready to leave Delhi's maximum-security prison. The capital is abuzz with news that the cash has finally been organized by the Lucknow-based conglomerate and that Roy could end his 14-month hiatus - a record for a corporate captain of his stature - around the time the courts close for summer holidays. 

Roy was imprisoned after he failed to appear for multiple court hearings in his firm's legal battle with the Securities and Exchange Board of India (SEBI). The funds raised are to help repay lakhs of small-town investors who trusted Sahara's "chit funds" with their savings. Roy must pay Rs 5,000 crore in cash and Rs 5,000 crore in bank guarantees to the Supreme Court. His company has paid Rs 3,117 crore to date. 

"We have been trying hard to raise funds to secure his release," said a Sahara India spokesperson. "We are pledging whatever we can at this point in time to ensure his exit from Tihar. We are confident we will be able to raise the money to secure his release before the summer holidays." 

It is reliably learnt that to secure Roy's release, Sahara is pledging whatever real estate the group has. 

Highly placed sources in Tihar claim the 14-month incarceration has left Roy - who called himself managing worker, once wore cash on his shirt and fancied parties with floral rains from a helicopter - a transformed man. On March 4, Roy, 67, marked a star sign on his prison wall to indicate a year in jail. 

The Sahara chief, who has kept himself fit by playing badminton regularly, has been keeping track of his business, indicating to his staffers that once out his immediate focus would be on media outlets like its television channels and newspaper. Late last month, he called a meeting of regional media heads and asked why their channels were not among the top three news channels. Cash and staff morale were problems, he was told. It is reliably learnt that Roy has given 25 days to his managers to come back to him with a game plan for the channels. 

Roy has continued his motivation letters from the prison to his employees, two of whom have already committed suicide. "I am coming out soon, have faith in me, the company. Work hard, please do not get worried about salary delays," he wrote. "I do not have a magic wand in my hand. We are going through a crisis... But we will grow, faster than before." 

Meanwhile, Roy has other plans - among them a grandiose farewell to the jail staff and prisoners in the form of a series of entertainment shows. The first one was held last year when singers Sapna Mukherjee (of Tridev fame) and Sonu Nigam performed for three hours before a packed audience. Bollywood star Salman Khan, who has tried unsuccessfully to meet Roy, has also agreed to perform at Tihar. And last month, the jail authorities - encouraged by Roy - have started a Sunday morning series involving top classical musicians. Two weeks ago, Grammy nominee flutist Ronu Mazumdar performed in Tihar. "Many lined up for classes with me," the musician said. 

Next on the list is a sitar-cello duet by Subhendra Rao and Saskiya Rao. "We want to bring positivity in the lives of the inmates," said Alok Kumar Verma, director general (prison). 

Dipayan Mazumdar, head of Legends of India, the Delhi-based cultural group organizing the shows with Tihar, is optimistic of roping in Roy - even after he leaves the prison - to continue the shows throughout the year. "It will be a big help," said Mazumdar. 

Roy has also been meeting prisoners during the daily "free time". He has advised many to start their own business because of India's troubled job market, recounting days when he drove a Lambretta scooter across Lucknow to promote his company. The book he wishes to write is almost ready, Roy has been writing for one or two hours every day. He wants to write on prison reforms and, of course, on those who "forgot him", including friends from the corporate world and Bollywood stars. 

"You know who are your friends when you are in bad times," Roy wrote in his last motivational letter to employees. In the jail he has, however, remained silent when asked about his "betrayers".

Statement from Sahara Counsels Ayush Chaudhary & Abhinav Mani Tripathi

We are thankful to the Hon’ble Court for giving us permission to raise funds via mortgage and sale of certain properties. Looking at the magnitude of the transactions involved, the Hon’ble Court has allowed us 90 days time to work from the conference room within Tihar Jail court premises, extending the facilities of video conferencing and meeting with various parties.

Apart from the mortgage of the three foreign properties, court has also allowed sale of ten domestic properties and a land parcel of Aamby Valley City. We are in a very advanced stage with many parties and shall execute these deals at the earliest. We have already deposited nearly Rs. 4,000/- crores in the ‘Sahara-SEBI Account’ and we shall be very shortly depositing the remaining amount along with the Bank Guarantee.

Sahara Counsel

Ayush Chaudhary & Abhinav Mani Tripathi

PRCI Chanakya Jury's Special Award 2015 for Shri Abhijit Sarkar in Sports Communications

Public Relations Council of India (PRCI), the ace body of Communications and PR professionals awarded Shri Abhijit Sarkar, Head – Corporate Communications & Director-Sahara Adventure Sports Limited, Sahara India Pariwar, with the coveted Chanakya Jury’s Special Award 2015 for his exemplary work in the field of Sports Communications. Shri Jual Oram, Union Minister of Tribal Affairs, Govt. of India presented the award to Shri Abhijit Sarkar, in a glittering ceremony held at New Delhi on 13^th March, 2015.

This award is an eloquent manifestation of the fact that Shri Abhijit Sarkar, is probably the only sports management expert in the country who has so effectively contributed to sports in India, across the board. His exceptional efforts in bringing together Corporate for promoting sports in India from regional, national and international level not only took sports like cricket to greater heights but also brought excellence in those sports which are less popular and require infrastructural and financial support and there is hardly any sport left in the country where his efforts and encouragement have not been recognized. His outstanding contribution to Indian sports is also evident from the fact that he is the Co-Chairman of FICCI Sports Committee for the past two years and also a member of the prestigious Sports Committee of CII for last three years. He has also been the Convener of Publicity & Media Sub Committee of the XIX Commonwealth Games, 2010.

For his contribution in the field of Sports and Corporate Communication in general and Public Relations in specific, he has been awarded with the ‘Most Dynamic Corporate Communications Professional of the Year’ in the Powerbrands Hall of Fame Awards in London 2011. He has also been conferred with Indy’s Excellence Award 2008 in the field of Corporate Communications, Crises Management and PR and ‘Communicator of the Year” award 2011 by IPRCCA, ‘Chanakya Corporate Communication Professional of the Year’ by Public Relations Council of India.

Additionally, Mr. Sarkar’s unparalleled expertise and leadership in the field of sports have also accorded him vital positions in various sports bodies. He is Director - Sahara Adventure Sports Limited, Director – Sahara Force India (India’s only Formula One team), Director – U.P. Wizards (U.P. Franchise team of Hockey India League), Director – Ranchi Rays (Ranchi Franchise team of Hockey India League), Director – Awadhe Warriors (Lucknow Franchise team of Indian Badminton League), and Director – Sahara Warriors (Sahara’s Polo team). His charm and dignity made him a personal favorite of nearly all the eminent sportspersons who always consider him as their indispensable support.

It was in consideration of his deep understanding of the nuances of media and sports, vast experience and expertise in the area of communications and Sports Management that he was appointed as a Convener – Publicity & Media Sub Committee of the XIX Commonwealth Games, 2010. For the same, Sahara eventually received Gold Award under the category of ‘Public Service Campaign’ by the Public Relation Council of India in 2011.

Mr. Abhijit Sarkar has played pivotal role in cementing Sahara’s inseparable association with Sports, for the past 15 years, whether it is the Sahara Cup in Canada, Sponsorship of the Indian Cricket Team for 14 years, Indian Hockey Team, Indian Women Cricket team, Indian Volley ball team or playing a pivotal role in Sahara’s association with Hockey, Boxing, Wrestling, Archery, Shooting, Football, Golf, Polo, and other sports disciplines. Besides, being the most visible face of Corporate Communications professionals in India, he also happens to be one of the tremendously successful in taking Indian sports to the next level. Under Mr. Sarkar’s visionary guidance Sahara is supporting 73 Sports person out of which 5 had won medals in London Olympics 2012.

Having bestowed upon with multitudinous tasks in running Sahara’s IPL Pune franchisee – Pune Warriors India, as director Mr. Sarkar lead the IPL team for three consecutive years and played a decisive role in getting the coveted franchisee for Sahara.

Moreover, Mr. Sarkar has been instrumental in developing and executing various well acclaimed international and national events like Sahara India Sports Awards (SISA) – the one-of-its-kind platform to honor the sporting legends. The ‘Sahara India Sports Award’ won Silver Award under the category of ‘Corporate Event’ by the Public Relation Council of India, 2011.

Since the early days to the present day, Sahara’s association with Indian Cricket has traveled a long journey of significant milestones that deserved to be chronicled. The story of the rise of Indian Cricket team as a cricketing super power during the course of Sahara India Pariwar’s long association not only needs to be told but also preserved for the future generation of the cricket lovers.

In the same context, Mr. Sarkar came with a up concept of preparing a Coffee Table Book, ‘The Golden Era’, which is a sumptuous tribute to Cricket and commemorates Sahara’s glorious association with Indian cricket in a form of book that spans from Natwest Trophy win in 2002 which is considered a turning point in Indian cricket after, of course, the 1983 World Cup triumph to India’s recent home series against South Africa. The book has number of sections with brief bios on each of the recent great cricketers. The book was conceptualized, ideated and produced under the guidance of Mr. Abhijit Sarkar.

In addition to this, he was instrumental in bagging the coveted franchisee of Uttar Pradesh in 2012 for the Hockey India League. Spearheading the U.P. Franchisee, he added another feather in his cap by adding another franchisee, Ranchi Rays in 2014, in the Hockey India League, which Sahara co-owns with cricketing legend, M.S. Dhoni.

Besides, he played a major role when Sahara announced its co-ownership in India’s only formula One Team with Dr. Vijay Mallya. Not only India, he expanded the horizon of Sahara’s association with sports beyond a nation, when Sahara bagged the official sponsorship of Bangladesh Cricket team in 2012.

Sahara’s Rs. 12,000 Crores are already with SEBI

Sahara says that report of Due amount of Rs 40,000 Cr is incorrect, since such amount or such observation was never made during the course of hearing either by the Counsel appearing for SEBI or by the Hon’ble Court or any other Counsel. The figure of Rs. 40000 Cr. is imaginary and same amounts to irresponsible reporting of Court proceedings. There is no pleading or any document in the Court record which mentioned the figure of Rs. 40000 Cr. The order dictated in the open Court on 13.03.2015 also does not bear this figure and therefore, these amounts to incorrect reporting of Court proceedings which further dented the image of Mr. Roy and two directors in the public eye.

2.      In fact, the Court very fairly stated that amount payable was subject to verification and after verification all excess amount would be refunded Back to Sahara.

3.      There is no observation pertaining to the reporting of one month to save group by the Hon’ble Court, same is misconceived.

As a matter of fact, the Hon’ble Court observed during the proceeding to Mr. Kapil Sibal, Senior Advocate that the outhouse facility along with secretarial staff etc. can be extended even up to “two months” provided a concrete proposal is put forward as far as the satisfaction of the bail bond of rest of the amount of about 6000 Cr. is concerned. Please note that Sahara's two companies are asked to provide proposal for complying with the remaining amount out of bail amount of Rs. 5,000 Cr cash (out of which Rs. 4,000 Cr. cash has already been paid to SEBI) and Rs. 5,000 Cr. as bank guarantee and not for any imagery figure of Rs. 40,000 Cr.  The period of 2 month was observed by the Hon’ble Court when Mr. Sibal requested for 8 weeks outhouse facility to finalize the transaction to satisfy the bail bond amount of Rs. 10,000 Cr. as ordered by the Hon’ble Court on 26.03.2014.

Therefore, the figure of 4 weeks as reported in the article is incorrect since Mr. Sibal sought 8 weeks’ time and not 4 weeks. Same is clarified to that extent.

4.      The news represented that an ultimatum was given whereas the order passed by the Hon’ble Court makes it clear that the Hon’ble Court accepted the request of not appointing a Receiver since Mr. Sibal stated that a serious attempt has been made for finalizing a deal of which the documents will be provided to the Amicus Curiae and the Counsel for SEBI. This acceptance of the request was also noted in the order dated 13.03.2015. As a matter of fact, Mr. Sibal stated that the situation of appointment of a Receiver may not arise if an opportunity is given. There is nothing mentioned in the order passed on 13.03.2015 about any ultimatum and therefore same amounts to incorrect reporting and same is clarified to that extent.

5.      The Hon’ble Court extended the facility of communication up to 5 hours a day to Mr. Roy and two directors of Sahara’s two companies, inside the jail premises which was not reported in the article. Further, jail authorities were also directed to facilitate Mr. Roy and two directors with two laptops for functioning which was also not reported in the article.

6.      During the hearing, SEBI was directed to file an affidavit clarifying its stand when a letter was indicated to the Hon’ble Court by Mr. Sibal that a communication was issued to HDFC Bank by SEBI on 19.12.2013 that the order dated 21.11.2013 only applies to specific movable and immovable properties in a particular application, therefore, RBI has no cause of action to state that there was a violation by Sahara India Financial Corporation Limited of the order passed by the Hon’ble Supreme Court on 21.11.2013 and 04.06.2014.

7.      Further, Mr. Sibal fairly stated during hearing that about Rs. 12,000 Cr. stands deposited with SEBI as on date out of which barely anything was disbursed by SEBI. The Hon’ble Court also made it clear that it will be open to argue on that issue at a later stage. However, the article in the front page of the newspaper reported that only Rs. 5,120 Cr. was deposited whereas nearly Rs. 12,000 Cr. stands deposited with SEBI as on date. Same is clarified to that extent.

Sahara employees face salary delays on liquidity crunch

NEW DELHI, FEB 27:  

Sahara’s long-drawn dispute with regulator Sebi over investor repayments has begun to take its toll on salaries of the group’s employees, which are getting delayed amid a major liquidity crunch.

The salary delays are mainly being faced by the staff members in the corporate offices of the crisis-hit group, while there are also delays on certain statutory payments and operating obligations or expenses related to day-to-day business due to difficulty in fund flows.

When contacted, a Sahara spokesperson confirmed the delays in salary and other payments, while adding that the junior staff members are being given priority for the payments.

“We are working to diffuse this crisis, which has also created grave difficulties for our employees. Sahara India is one big Pariwar (family) and all the employees are its members, who are standing together in these difficult times.

“With our dedicated employees and the strong fundamentals of the group, we are hopeful that we will soon come out of this crisis,” the spokesperson told PTI.

The group has over 10 lakh full-time and part-time employees, including permanent staff at its various companies, permanent agents who get regular incentive payments besides a large number of part-time agents.

While the exact number of persons whose salaries and other payments have been delayed could not be ascertained, sources said their numbers could run into “tens of thousands”.

“The group is facing a liquidity crunch for past one year due to embargo and double payment (for investor refund), resulting into many problems like meeting the salary, statutory and other operating obligations/expenses in doing business,” the spokesperson said.

“We are however releasing the salaries time to time based on the fund flow on a continuous basis. The delayed salaries of junior staff were released just a few days back as extra care has been taken for our junior staff. Soon salaries of other brackets will be released,” he added.

“In some business divisions, salaries of our employees have got delayed by many months. However, situation is better at those divisions which have their own fund-flow like the Group’s luxury hotel Sahara Star in Mumbai, resort town Aamby Valley City and the 500-bed tertiary care Sahara Hospital in Lucknow.

Replying to queries on salary delays, the group spokesperson said that “for the past 14 months, Sahara India group’s all kinds of assets and bank accounts are under embargo of Supreme Court and there is an extra burden of demand of double payment against single liability in Sahara-Sebi case”.

Sahara is trying to raise necessary funds to secure release of its chief Subrata Roy, and two other officials, from Tihar Jail where they have been lodged for almost a year in connection with the investor repayment case.

The group was asked by the Supreme Court in August 2011 to deposit over Rs. 24,000 crore with Sebi for refund to investors. Sahara, which has deposited some instalments since then with Sebi, maintains that it has already refunded over 95 per cent of investors directly.

The spokesperson further said that “any fund raised by the group, which we are doing, through sales and mortgaging of properties, that money shall go to Sahara-Sebi account and nothing will come to the corporate“.

“The money deposited in Sahara-Sebi account is a double payment, which we are making.”

The spokesperson also said that “Sahara’s two Companies in question collected Rs. 25,780 crore through OFCD (Optionally Fully Convertible Debenture) schemes. Of this, Sahara repaid almost 95 per cent (around Rs. 23,000 crore) of OFCD liabilities of these two companies by 2012.

“In addition to this, Sahara till date has already deposited more than Rs. 11,000 crore (including interest) with Sebi and by the time our Chairman (Subrata Roy) comes out of custody, we shall be having aroundRs. 18,000 crore with Sebi.

“... as per the order of Supreme Court, the entire money with bank interest shall come back to Sahara after verification. But for the same, Sebi has to initiate verification of our investors and the repayments which we have made and return the money to us.”

The recent attempts by Sahara to raise funds through a US-based entity Mirach Capital failed, while the group has said it is now in talks with an European bank and a Dutch pension fund, among others, to explore garnering funds to ensure release of Roy and two others from jail.

The Supreme Court recently posted the matter for further hearing on March 13, while asking Sebi and other parties to respond to Roy’s plea for extension of facilities inside the prison by at least two working weeks to explore negotiations with these prospective parties.

Sahara to take legal action against Mirach

Sahara India Pariwar went on the offensive on Thursday accusing Mirach Capital of cheating and forgery in the failed $2.05-billion loan arrangement.

As reported earlier by Mail Today, it has now initiated legal action against the US-based firm and is now working on a new deal to raise funds to secure bail for its chief Subrata Roy.

The crisis-hit group alleged that Mirach and its CEO Saransh Sharma's criminal conduct and lack of financial capabilities to honour such huge commitments led to the breaking down of its deal, leading to precious loss of time, resources and position of Sahara.

"... Sahara is now taking legal action, both of civil and criminal nature, against such gross criminal conduct of MCG (Mirach Capital Group) and their officers, both in India as well as in the US," a Sahara spokesperson said.

He said that an FIR has already been filed in this regard, while adding that the group is now working on another deal and Sahara will comply the order (of the Supreme Court) very soon.

Mirach had on Wednesday formally called off its $2.05-billion loan financing for Sahara and said it has returned the entire due diligence fees of $2.625 million to them. It also accused Sahara of being an unwilling seller for the three overseas properties - The Plaza and Dream Downtown in New York and the Grosvenor House in London.

Shockingly, on January 9, Sharma along with a woman officer was also present in the Supreme Court when Sahara's counsel presented the said letter purportedly issued by Bank of America, based on which the apex court approved the transaction and permitted Sahara to apply to the Reserve Bank of India (RBI) for getting inward remittance in India.

Later on, Bank of America branch manager Nuno Marques informed through his e-mail dated January 31, 2015 that the said letter purportedly issued by him was neither issued nor signed by him. Hence, the letter turned out to be forged.

Subsequently, Sahara sent its officer to the US to confirm the veracity of Bank of America's letter and on February 2 filed an affidavit in the Supreme Court, informing it about these disturbing developments.

Meanwhile, upon inquiry, the Sahara officer confirmed that the Bank of America's letter was a fake, not issued or signed by the branch manager concerned. Thereafter, Sahara confronted Saransh, who was not been able to confirm the veracity of the said BOA letter.

Sebi lowers Sahara case expense estimates to Rs 25.88 cr

As a prolonged Sebi-Sahara battle continues, the regulator has revised lower the expenditure it

intends to recover from the business group to Rs 25.88 crore in the current fiscal towards money spent on identifying the investors and making refunds.

   As per the court orders, Saharas were asked to bear the costs incurred by Sebi in identifying the investors and repayment of refunds to them, which has been an uphill task for the capital markets watchdog.

     In its mid-term review of budget estimates for the current financial year 2014-15, Sebi is believed to have pegged the revised estimate of 'expenses recoverable from Sahara' at Rs 25.88 crore, down from the original budget estimate of Rs 37.66 crore. The actual expenditure already made till December 31, 2014, in this financial year stood at Rs 8.75 crore.

     This downward revision has taken place largely due to a planned expenditure being revised from Rs 12 crore to Rs 4 crore for the current fiscal because of non-operationalisation of a contract given to UTI-ITSL in the Sahara case.

     Besides, the advertisement charges have been revised lower from Rs 3 crore to Rs 1.46 crore.

     The amount earmarked for in-person verification charges has also been reduced, as the same could not be spent amid subsequent developments in the courts and henceforth a total amount of Rs 1 crore has been set aside for this particular purpose.

     In this high-profile case involving refund of over Rs 24,000 crore and additional interest of 15 per cent per annum, the Supreme Court had asked Sahara in August 2012 to submit all documents and refund money to SEBI for further repayments to genuine investors after verifying the documents.

     Sahara had submitted 5.28 crore documents to Sebi, which set up a Special Enforcement Cell for the case. Sebi had awarded a contract to Stock Holding Corporation of India Ltd (SHCIL) for storage, digitisation, scanning etc, and to UTI Infrastructure & Technology Services Ltd (UTI-ITSL) for refund related activities. These two contracts were originally worth

about Rs 55 crore.

     In addition to these contracts, SEBI has incurred significant expenses under other heads also with regard to the Sahara case, including towards legal costs and the in-house refund handling expenses.

     Through one of its recent advertisements, Sebi had invited refund applications till January 31 from the eligible Sahara investors along with necessary documentary proof. Earlier, Sebi had invited refund claims to the regulator by September 30, 2014. 

Sebi makes fresh bid to find Sahara Investors

Sebi had received 4,900 refund claims during the August-September exercise from the bondholders of two Sahara companies --Sahara India Real Estate Corp Ltd (SIRECL) and

Sahara HousingInvestment Corp Ltd (SHICL), which had raised over Rs 24,000crore from about three crore investors.

While Sahara maintains it has already repaid more than 93per cent of the outstanding dues directly to the concerned bondholders and the remaining amount was just about Rs 2,500 crore, it deposited Rs 5,120 crore to Sebi in December 2012towards the investor refunds as per Supreme Court orders. Further money has been deposited by the group with Sebi subsequently and it is currently in the process of raisingmore funds to ensure release of its chief Subrata Roy from the jail.

Sebi began the refund process in May 2013, while asking eligible investors to submit their claims. However, the refunds made so far remain minuscule, although the regulator

has not so far made public the quantum of all such payments. Sahara has been maintaining that Sebi should verify the refunds made by it directly and claims to have submitted to

the regulator proof for nearly 75 per cent of refunds. It also says that the remaining 25 per cent refund proof is lying in its Mumbai godown to be given to Sebi.

Sahara also contends that bulk of its investors didn't have bank accounts and other formal financial papers, the details of which have been sought by Sebi. On the identification on Sahara's investors, Sebi has contested in the court that addresses of many investors given

by Saharas were incomplete as only village name, district and state is given without any house number or street/lane names.

On its part, Sahara has maintained that most investors are from rural India and had no house numbers or street names. In the new refund application form, Sebi had given a new

address format for rural investors, asking only village name, post office, district and state as against additional details like house number and street name for urban addresses.

In its latest annual report for the year ended March 31, 2014, Sebi had disclosed having received 3,612 refund applications involving 13,948 deposit accounts till that time in the Sahara matter.

Of those applications, Sebi made refunds in case of 445 applications involving an equal number of deposit accounts for an aggregate amount of about Rs 1.25 crore including interest

of about Rs 43.83 lakh. The other applications had deficiencies or fell under either 'mismatch' or 'multiple investment' category. "Out of the remaining 3,167 applications, in respect of

424 applications involving 1,683 deposit accounts, certain deficiencies were observed in the applications/supporting documents submitted by the applicants which were brought to

the notices of the applicants for their clarification/rectification, and replies are awaited from

them," Sebi said. Sebi also could not process 1,260 applications involving 7,159 deposit accounts as these were in multiple investment category, while 92 cases involving 92 accounts did not meet

the extant refund methodology adopted by the regulator. Besides, 1,776 applications involving 4,395 accounts could not be processed because of being 'mismatch category'.

STATEMENT FROM SAHARA’S COUNSEL, GAUTAM AWASTHI

In today’s hearing, the Hon'ble Supreme Court with a view to enable Sahara’s to raise money for fulfilling the bail condition, allowed the prayer of Sahara’s for taking over of the Bank of China loan on foreign Hotels by another creditor and it also permitted the raising of US $ 650 Million junior loan on second charge basis. Though, there is no requirement of RBI approval under the FEMA Regulations in the concerned transaction, yet on the objections of Amicus and SEBI Counsel, the Hon'ble Court has directed Saharas to seek RBI clarification, if its approval is needed at all or not. The Hon'ble Court made it clear that it has not expressed any opinion on the subject. In effect, the transactions can be taken forward till the point of parking the money in the accounts of Ambey Valley Mauritius Ltd., a 100% subsidiary of Ambey Valley Ltd. The Hon’ble Supreme Court also took note of the fact that the required money for the transactions is already available in the account of creditors which was certified by Bank of America. Further, with a view to give flexibility to the Sahara’s in expeditiously completing the above-mentioned transactions, the Hon'ble Court was also pleased to grant the facilities of housing to Saharasree and other two directors in a separate premises with the facilities of video conferencing telecommunication, Secretarial assistance, etc. which were earlier granted vide order dated 1st August, 2014. These facilities would be available till 20.02.2015.

Further, the Hon'ble Court has asked SEBI to explain the expenses it is stated to have incurred for disbursing Rs.2 Crore to investors. The SEBI wanted the approval of the Court on its expenditure of Rs.48 Crore for disbursing an amount of Rs.2 Crore to investors. The Hon'ble Court has granted liberty to Sahara’s for filing its objections on the expenditure incurred by the SEBI which will ultimately be borne by the Saharas.

SEBI versus Sahara: Rs. 22 crores versus Rs. 18000 crores

Today, Sebi has around Rs.11,500 crores of Sahara's money, including bank interest.

By the time our Chairman shall come out, that is, when full bail amount is paid, our money lying with SEBI will be Rs.18,000 crores cash.  Since no bank is ready to give Bank Guarantee to us without 100% cash margin, it is going to be Rs.18,000 crores of cash with Sebi.

While in the last 26 months,Sebi had to pay only around Rs.2 crores.

More importantly, Sebi came out with an All-India Media Advertisement, twice, inviting investors for repayments. But till now, they have received from all over India, a demand of Rs.20 crores only.

A question can now arise that whether the investors exist or do not exist; meaning, are these all fictitious accounts?

Only verification can clarify this point, as mandated in Hon'ble Court's order of 2012. Since then, in almost past 26 months, Sebi has not started verification; the reason best known to them. 

About fictitious account, we would like to mention here another issue pertaining to the Reserve Bank of India (RBI) which is as follows:

Between 2008 and 2012, on RBI's order, Sahara paid back Rs.18,000 crores under the command of RBI's two Statutory Auditors and 3 RBI nominated Directors.  The bank account of that amount was controlled by the RBI.  A strict rule was followed that when RBI auditors finally checked the identity of all investors (KYC), only then the next months' payments were allowed by the RBI and during the process, in 4 years, RBI did not find any fictitious account; not even one.

--

Regards,

Corporate Communications,

Sahara India Pariwar

Parrikar 'disturbed' at Subrata Roy's long incarceration