SC allows Subrata Roy to go abroad

The Supreme Court Friday permitted Sahara Group chief Subrata Roy and two Group directors to travel abroad till Nov 11, by which time they have to submit original title deeds of their assets worth Rs.20,000 crore.

That sum would cover the money they had collected through Optionally Fully Convertible Debentures (OFCDs) from investors.

The apex court bench of Justice K.S. Radhakrishnan and Justice J.S. Kehar modified an earlier order following a hearing on Sahara's application in their chamber. This was revealed to reporters by Sahara counsel C.A. Sundaram soon after he emerged from the chamber after the hearing of the matter.

Two Sahara Group companies -- Sahara India Real Estate Corporation Ltd. (SIRECL) and Sahara Housing Investment Corporation Ltd. (SHICL) -- had moved the apex court Wednesday (Oct 30, 2013) seeking the correction of its Oct 28, 2013 order barring the group's head Subrata Roy and its two directors from travelling abroad till it submitted the original title deeds of its assets to the tune of Rs.20,000 crore to secure the investors' money that it had to return.

Sundaram had Wednesday mentioned the matter seeking correction in the order.

The bench headed by Justice K.S. Radhakrishnan asked him to file a review application.

The apex court, by its Aug 31, 2012 order, had asked the two Sahara companies to return to investors Rs.24,000 crore, along with 15 percent interest, that it had collected through OFCDs.

The court had, by its Oct 28 order, directed the Sahara Group to submit the original title deeds of unencumbered properties, worth Rs.20,000 crore, along with proper valuation reports, by Nov 11; it had also said that until its orders were complied with, Subrata Roy and the two directors will not leave India without the permission of the court.

Sahara has already paid Rs.5,120 crore as part payment to the market regulator in pursuance to the apex court's Aug 31, 2012 order to return investors' money with interest.