Subrata Roy, chairman of Sahara Group (Photographer: Prashanth Vishwanathan/Bloomberg)

Supreme Court Allows Sahara To Sell Part Of Aamby Valley Property

The Supreme Court today allowed the Sahara Group to sell part of its Aamby Valley property to raise money in order to refund investors.

The official liquidator of the Bombay High Court, appointed to conduct the auction of the property, today informed the top court that the 7,000 acre property has been divided into five parcels. The apex court allowed the Subrata Roy-led group to sell any one parcel of this land by May 15.

If the group fails to conduct the sale before that date, the property will be auctioned as per the schedule drawn by the official liquidator, the bench of Chief Justice of India Justice Dipak Misra and Justice Ranjan Gogoi and Justice AK Sikri said.

Also read: Mahindra, Piramal Eye Sahara’s Aamby Valley

The court had ordered the Aamby Valley auction to recover investor money from the group. It stems from a 2012 order that asked two Sahara companies to refund Rs 24,000 crore, along with 15 percent interest, to more than two crore small investors who had invested in their optionally-fully convertible debentures between 2008 and 2011. The SEBI had ruled the fundraise illegal.

Roy was sent to jail on March 4, 2014 for failing to pay Rs 10,000 crore as ordered by the court. After Roy’s mother died in May last year, the apex court granted him parole. The interim arrangement has since continued.