SC allows Sahara's chief Subrata Roy to go abroad

In a major relief to Sahara Group’s chief Subrata Roy, the Supreme Court today modified its earlier order and permitted him and two other directors of the company to travel abroad.

The court has also asked Roy to comply with its earlier order to submit to the Securities and Exchange Board of India (Sebi)original title deeds of assets worth Rs 20,000 crore by 11 November. If the deedsare not submitted in time, he will have to return to India. Roy has been askedto submit the deeds to cover investors’ money collected through the controversial optionally fully convertible debentures (OFCD).

[caption id=“attachment_807877” align=“alignright” width=“380”] Subrata Roy. PTI[/caption]

The bench of Justice KS Radhakrishnan and Justice JS Kehar modified the earlier order following a hearing on Sahara’s application in their chamber.

On 28 October, the Supreme Court had come down heavily on the Sahara Group saying it was playing hide and seek by not complying with its order to return investors’ money collected via OFCDs. The court said the groupcannot be trusted any more and directed it to hand over title deeds of its properties worth Rs 20,000 crore to Sebi, which is overseeing the return of the investor money. It also warned that failure to comply with this order would mean Roy cannot leave India.

The Sahara Group had filed an application seeking to rectify the alleged error in the order which barred group’s head Subrata Roy and its two directors from travelling abroad.

The Sahara group had said the order was erroneously reported in the media.