October 29, 2015
Telangana Chief Minister K.Chandra Shekar Rao was sworn in as Central Labour Minister on 2004 May 22. He was without port folio for some time. Later he was assigned Labour Ministry. He was in the Ministry till 22 September 2006. At that time Sahara was in peaks. Here are few points to show its glory:
Sahara India Chairman Subrata Roy was named among the 10 Most Powerful People of India in 2012 by India Today. In 2004, the group was termed by the Time magazine as ‘the second largest employer in India’ after the Indian Railways.
But blind and ignorant Andhra Jyothi and its owner bent up slinging mud on Telangana leader and Telangana. Patentee of frauds, defaulters of banks, cheater of partners and what not… Andhra Jyothi grown brick by brick on frauds. When KCR or his ministry was taken decision to leave the maintenance of PF accounts to Sahara, its not in the bad books. It was run into crisis in 2010 November only. BUt Andhra jyothi is known to build the lies and live on it. Andhra Jyothi itself wrote that there is a provision to allow companies to organize PF and ESI on thier own. See Here what he wrote in his newspaper:
Here are the developments of Sahara crisis. One can find easily, when it was started.
Events of this fraud case started in 2010 and it is still in proceeding in Supreme Court of India as of October 2015:
November 2010 – Securities and Exchange Board of India bars Sahara India Pariwar chief Subrata Roy and two of its companies – Sahara India Real Estate Corp (SIREC) and Sahara Housing Investment Corp (SHIC) from raising money from the public as they raised several thousand crores through optionally fully convertible debentures which SEBI deemed illegal.
December 2010 – Sahara made appeal in the Allahabad High court which ordered SEBI not to take any action until a court order is passed.
January 2011 – Delhi High court issued a warrant against Sahara India Pariwar chairman Subrata Roy and four other officials of the group on a complaint that it deceived investors in a proposed housing project of Rs.25,000 crore.
February 2011 – Delhi High court stays proceedings against Sahara India Pariwar chairman Subrata Roy and four other officials of the group on a complaint that it deceived investors in a proposed housing project.
May 2011 – Supreme court of India asked Sahara India Real Estate (SIREC) to furnish the format of the application for an optionally fully convertible debentures (OFCD) scheme and a list of accredited agents which raised money on company’s behalf.
June 2011 – SEBI ordered Sahara firms to immediately refund the money collected through sales of OFCDs.
October 2011 – Securities Appellate Tribunal (SAT) ordered two unlisted Sahara Group companies to refund within six weeks about 17,656.53 crore with 15% interest which it had raised through a flotation of OFCDs.
November 2011 – Sahara India Pariwar moved to Supreme Court against SAT’s order and in favour of Sahara Group it stayed the SAT order, and asked the two companies to refund 17,400 crores to their investors and asked the details & liabilities of the companies.
January 2012 – Supreme Court gives three weeks time to Sahara India Pariwar to choose between options to secure investments made by public in OFCD scheme. Either to give sufficient bank guarantee or attach properties worth the amount raised through OFCD’s.
May 2012 – Supreme court is informed by Senior counsel Fali Nariman (appearing for Sahara India Real Estate Corp) that SEBI could not have taken up this issue of Sahara Group of companies raising funds through OFCD since there was no complaint from any investor.
June 2012 – SEBI informed Supreme Court that real estate division of Sahara India Pariwar had no right to mobilise Rs.27,000 crore from investors through optionally fully convertible debentures (OFCD) without complying norms of Market regulator – SEBI.
August 2012 – Supreme court directs Sahara India Real Estate Corporation Ltd. (SIRECL) and the Sahara Housing Investment Corporation Ltd. (SHICL) to refund over Rs. 24,400 crore.
In March 2015, the court had directed two Sahara group companies — Sahara Real Estate and Sahara Housing — to return around Rs 24,000 crore with interest to nearly 3 crore investors through market regulator SEBI in Aug 2012. The firms were later allowed to pay up by February 2013. So, the total dues have now gone up to Rs 40,000 crore with the accretion of interest.
In July 2015, Sebi cancels Sahara’s mutual fund licence- Sebi directed cancellation of Sahara Mutual Fund’s certificate of registration on expiry of a six-month period.