Plea seeks extension of deadline for submitting investor documents to mkt regulator
The Securities Appellate Tribunal (SAT) has dismissed an appeal filed by two Sahara group entities, seeking an extension of the deadline for submitting investor documents to the capital market regulator.
The apellatte body has rejected the appeal saying the plea is infructuous in light of the specific directions from the Supreme Court (SC). The apex court?s deadline to the two Sahara group entities – Sahara India Real Estate Corporation and Sahara Housing Investment Corporation ? for submission of documents ends on Thursday. The Sahara entities had filed an appeal in the tribunal in November after the capital market regulator refused to accept the documents related to millions of investors of optionally fully convertible debentures (OFCDs).
Meanwhile, the Securities and Exchange Board of India (SEBI) has already filed a contempt petition before the SC after Sahara failed to supply documents before the deadline.
The two Sahara firms have been directed by the apex court to refund nearly R17,400 crore along with interest to investors. While the earlier deadline for refund as set by SC was November 30, it was recently extended to February by the apex court.?The court had directed the Sahara Group entities to provide all documents with the firms like the application forms submitted by subscribers, approval and allotment letters to SEBI. This was to ascertain the genuineness of the investors as well as the amounts deposited with the companies.
Between 2008 and 2011, the two unlisred firms raised around R17,000 crore from millions of investors through a private placement of debentures. In November 2011, KM Abraham, a full-time member of Sebi issued an order directing the companies to refund the money to investors along with 15% interest. This was challenged by Sahara in the high court and later in the Supreme Court.
Sebi relief to six entities in mid-cap crash
Mumbai : Sebi on Thursday revoked its earlier order barring six entities which were initially found involved in the share price plunge in some mid-cap stocks, including Parsvnath, Tulip Telecom and Pipavav Defence.
The board continued its gag order on two firms ? Gajria Jaayna Precision Industries and Passion System Solution ? by confirming their suspension from trading. The firms which got relief from the earlier securities market ban are ? A to Z Steels, GN Credits, Premium Hospitality Services, 4a Financials Securities, Venus Infosoft and Neelanchal Mercantile. PTI
