Sahara Group Meet With Market Regulator SEBI

Today, Managing Worker & Chairman of Sahara India Pariwar, Shri Subrata Roy Sahara with Smt. Vandana Bhargava, Shri R.S. Dubey and Shri Ashok Roy Choudhury attended SEBI’s office since SEBI had summoned them.

They presented the details of their personal assets. Shri Subrata Roy’s personal assets were around Rs 3 crore only.

Shri Subrata Roy requested and conveyed his grave concern that unmatured accounts should get their money back for which Sahara has already paid Rs. 5,120 crs to SEBI and SEBI has not taken any initiative.

He also requested that SEBI should take all possible initiatives to accelerate repayments and verifications of documents.

Shri Subrata Roy, on coming out of SEBI’s office spoke to the waiting press and declared his firm faith that nobody on this earth can prove RIGHT as wrong and said SEBI is only fighting everyday to get more money from Sahara. It is orchestrating leaks to press because of which Sahara is facing media trial regularly. Whereas in last 7 months, not even one step has been taken towards repayment of remaining investors or towards verifications of documents.

The fact of repayment is that Sahara has already repaid the entire liability except around Rs. 5,120 crs to its investors before 31^st August 2012. This means that all repayments by Sahara were done before the Judgement of Hon’ble Supreme Court.

While leaving the SEBI office, Shri Roy speaking to the media, said with a smile that the Company has paid Rs. 5,120 crs to SEBI and all the expenses are on Sahara’s account, so it was unfortunate that during the meeting, they weren’t even offered a cup of tea by the SEBI officials.

Rich men’s SEBI does not understand, recognise poor Investors

Sahara complained that SEBI Chairman Sri U.K. Sinha neither gave time to meet our Chairman since last one year nor he accepted the invitation for appearing with our Chairman in T.V. Channel for informing people the truth and torture given to Sahara. Such a big responsible person should not give irresponsible statements that how and why Rs.20,000 crores repayments were made in 4 months and 90% was paid in cash.  Well, he should have asked these questions to Sahara first.

Repeatedly we have written to SEBI and everywhere that our investors are very small and mostly living in small townships and rural areas. These investors do not go to Banks and Banks do not come to them.

Our investors profile on the basis  of principal amount.

Upto Rs. 5, 000/- = 1.33 crores, upto Rs.10,000/- another  0.88 crores, upto Rs.15,000/- another 0.42 crores, upto Rs.20,000/- another 0.36 crores. This totals to 2.99 crores out of total investors of 3.07 crores. We genuinely hope that the SEBI Chairman should kindly send an amended statement to Media with realisation and apologies that why cash repayments to around 90% investors have been made and the 90% cash payments are totally justified.

Upto Rs. 20,000 repayments (including interest) it is cash payments only as per country’s law.

                     

It should also be clear that 90% amount of investors in both the companies have come from investors upto Rs.20, 000 that is 2.99 Crores. So any logical but unbiased mind shall be convinced, accept and understand our challenge in the past also that there cannot be any case of fictitious, fake investors in Sahara.

He has also mentioned about paying Rs. 20,000 crores in 4 months. But majority payments are in 5 months plus time.

SEBI knows the reason very well that upto April 2012, esteemed investors through our committed and highly concerned field workers in Lakhs, knew that Hon’ble Supreme Court is likely to give 5 – 6 years against security of properties. We have submitted the valuation reports of properties to Hon’ble Supreme Court.

In fact in case of RNBC under regulation of Reserve Bank in 2008, RBI had given 7 years time to repay.  This 7 years time was given within 10 days from the date of Prohibitory Order.  So there was no chance, no reason of big rush demands of any nature.

Again the same profile of investors in RNBC also that is deposit of around Rs.20,000 crores with 3 crores plus investors. Important to note that we had almost repaid all liabilities 3 years in advance in RNBC.

But all of sudden in May 2012, 1^st Week, Hon’ble Supreme Court ordered for continuous hearing in June 2012 and decision had to be given the same time.

During April 2012, one news was probably infected by some interested party which spread like wild fire in our field, Countrywide that in case of Golden Forest Company which was exactly similarly initiated and fought by SEBI. After Hon’ble Supreme Court’s decision in 2004 in this Golden Forest Company for repayment, not a single rupee has been paid to any investors till today that is in 8 – 9 years. Workers and Investors also knew that there were dozens of other Companies where, SEBI’s had taken action but not a single investor have received one rupee till now.

Also, company as sole custodian of Investors money from last 34 years got concerned about Esteemed very small investors.

Then there was big rush with demands for repayments. There were big – big queues in front of offices throughout the country. We had to repay big sum but could contain to a great extent the rush by around middle of June. So almost 60% repayments had to be done in around 45 days only.  Really a very difficult time for Sahara for no fault of ours.

No fault of ours since we did this OFCD business after we got all valid permissions in writing from Central Government through Ministry of Corporate affairs as our regulator who continuously used to inspect and investigate, all Balance Sheets etc. were regularly to be submitted to them etc. etc. for last 10 – 11 years as our regulator but we faced and are facing very difficult days with retrospective effect punishments. Government departments who gave us written permission are not accused at all. Had they not given these permissions we would not have collected even one rupee and we would not have faced any problem. Well we are Prajas and they are Rajas.

One thing SEBI should understand that, had there been any hanky – panky by Sahara as accused by Chairman SEBI, then why we could not manage 5000 Crore which we have paid to SEBI.

Humble request to SEBI to act Judiciously like a very responsible and very big Regulator as big brother of society.  

First Time Someone Took Courage To Challenge SEBI

A signed full-page advertisement in the newspapers on Sunday invited the Securities and Exchange Board of India to a live debate on television.

“I hereby challenge and invite the Chairman or/and Members or/and Executive Directors of Sebi for a live debate with me on a TV channel and let people know  their wrong intent and deed, as a corporate regulator and clearly understand what extreme degree of injustice is being done by them to malign the image of Sahara India Pariwar,” said the advertisement entitled ‘Enough is Enough.’

It futher asks for a ten day notice to organise the appropriate channel and 60 minutes of air-time to facilitate the debate.