SEBI Sahara Group Subrata Roy: All bank accounts of Sahara-head Subrata Roy to be seized, SEBI orders – mssewb.org

SEBI Sahara Group Subrata Roy: The ‘Securities and Exchange Board of India’ (SEBI) had earlier ordered the seizure of properties belonging to Sahara Group chief Subrata Roy on charges of financial irregularities. Sebi has now ordered the seizure of bank accounts and demat accounts of Subrata Roy and his associates for violation of norms in issue of ‘Optional Convertible Debentures’. That order has been given to recover about 6.5 crore rupees.

According to SEBI sources, it has ordered the seizure of bank accounts and demat accounts of 5 firms, namely Sahara India Real Estate Corporation (now Sahara Commodity Services Corporation), Subrata Roy, Ashok Roy Choudhary, Ravi Shanker Dubey and Vandana Bharrgava. The combined value of which will be Rs 6.42 crore. This includes all expenses including interest, costs, charges. Sebi has issued notices to all banks, depositories and mutual funds not to debit the accounts of Sahara India Real Estate Corp., Subrata Roy, Ashok Roy Choudhary, Dubey and Bharrgava.

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The regulatory body did not stop here. SEBI has ordered the seizure of all the accounts, even lockers, of the borrowers elsewhere. The regulator, Sahara India Real Estate Corp., had imposed a penalty of Rs 6 crore on Subrata Roy, Ashok Roy Choudhary, Dubey and Bharrgava last June.

The case started in 2008-09. When OFCDs were issued by Sahara India Real Estate Corporation and Sahara Housing Investment Corporation to withdraw funds from the market. But Sebi says that certain rules were not followed while releasing it in the market. Because, in that case, the rules laid down by SEBI to protect the interests of customers have not been followed, the regulatory agency said.

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According to Sebi sources, the OFCDs that were issued to withdraw money from the market, were not warned in detail about the risks. However, as per SEBI rules, it is mandatory to warn the customer about the financial loss that may occur in such investments. So that the investor can decide to invest in it by understanding the risks and all the conditions. That is, so that there is no haze in all these cases.