Subrata Roy Says Sahara Had to Make Double Payment For A Single Liability
Sahara India had to make a double payment of a single liability to the market regulator despite paying off 95 percent of its investors, chairman of the firm Subrata Roy said on Friday.
The Securities And Exchange Board of India has around Rs 19,000 crore, while it has repaid only Rs 64 crore to the investors in the last 60 months, Roy said while announcing the commencement of Sahara India Pariwar’s 40th anniversary. He added that SEBI is also holding original documents of Sahara’s landed properties worth Rs 20,000 crore.
Sahara knows very well that all this money will return to it as per the Supreme Court's order, as it has already repaid 95 percent of its Optionally Fully Convertible Debentures (OFCD) investors, he said.
Sahara’s fundamentals are very strong but it is also true that we are facing a huge short-term liquidity problem, but it is not because we have to deposit the money in Sahara-SEBI account but due to the embargo imposed on us.Subrata Roy, chairman, Sahara India
The entire Sahara Group is under an embargo which means that if any asset is sold or mortgaged to raise funds, then that entire money shall go to the SEBI-Sahara account.
Sahara would be the 19th most cash-rich firm of India, if the amount deposited with SEBI is considered as a cash reserve, Roy argued. Once the embargo is lifted and the money is back, Sahara will be one of the biggest cash rich companies of India and its growth will be phenomenal, he added.
"This acute current cash flow issue is really severe but temporary in nature. The company is financially sound, fundamentals are intact and assets are way more than the liabilities," he added.