SC Allows Centre’s Plea Seeking ₹5,000 Crore From SEBI-Sahara Fund

The Supreme Court today allowed a plea by the Centre seeking allocation of ₹5,000 crore out of ₹24,000 crore deposited by the Sahara group with market regulator Sebi to repay its depositors.

The direction came on an application filed by the Centre in a PIL by a person, named Pinak Pani Mohanty, who sought directions to pay the amount to the depositors who invested in several chit fund companies and Sahara credit firms.

A bench of Justices MR Shah & CT Ravikumar stated that the amount shall be disbursed to depositors duped by the Sahara group of cooperative societies.

The bench stated that the entire process will be monitored by former Supreme court judge Justice R Subhash Reddy.

The Centre sought money from the SEBI-Sahara Sahara-Sebi escrow account that was formed after the top court in August 2012 directed 2 Sahara firms, Sahara India Real Estate Corporation Limited (SIRECL) and Sahara Housing India Corporation Limited (SHICL) to refund investors.

Meera Verma

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