Lok Sabha Question No. 2449 (UNSTARRED), answered on 2022-08-01
Subject: Sahara India Group Investors
Ministry: FINANCE
Asked by: Giridhari Yadav, Vijay Baghel

## GOVERNMENT OF INDIA MINISTRY OF FINANCE

## DEPARTMENT OF ECONOMIC AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 2449

TO BE ANSWERED ON MONDAY, 01 st  AUGUST, 2022/ SRAVANA 10, 1944 (SAKA)

## Sahara India Group Investors

## QUESTION

## 2449. SHRI GIRIDHARI YADAV: SHRI VIJAY BAGHEL:

Will the Minister of Finance be pleased to state:

- (a) the amount of investors' money stuck in the Sahara India Group across the country, Statewise along with the number of years since when the amount has been pending;
- (b) whether the Sahara India Group has deposited crores of rupees in 'SEBI-Sahara refund' account;
- (c) if so, the quantum of funds deposited by the Sahara India Group to SEBI for re-payment to investors in relation to Optionally Fully Convertible Debentures along with the number of investors repaid by SEBI and the amount involved therein;
- (d) the steps taken to ensure the recovery of money to investors along with the timeline for refund to the investors by SEBI and return of money to Sahara India in case no investor is left for refund;
- (e) whether  the  Government  is  aware  that  Sahara  India  Group  is  not  paying  back  to  the investors of other schemes due to embargo placed on them or due to lack of fund; and
- (f) if so, the measures being taken to ensure lifting of embargo on Sahara India Group and to ensure that the Group pays back so that the genuine investors do not suffer?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)

- (a): The following are the details of the number of investors and quantum of money stuck in various Sahara entities-

(In crores)

|   S. No . | Name of the Sahara Entity                              |   No. of investors |   Total deposits |
|-----------|--------------------------------------------------------|--------------------|------------------|
|         1 | Sahara India Real Estate Corporation Limited, (SIRECL) |               2.33 |          19400.9 |
|         2 | Sahara Housing Investment Corporation Limited (SHICL)  |               0.75 |           6380.5 |
|         3 | Sahara Credit Cooperative Society Ltd.                 |               4    |          47245   |
|         4 | Humara India Credit Cooperative Society Ltd.           |               1.8  |          12958   |
|         5 | Saharayn Universal Multipurpose Society Ltd.           |               3.71 |          18000   |
|         6 | Stars Multipurpose Cooperative Society Ltd.            |               0.37 |           8470   |

Source: SEBI & Ministry of Cooperation

Note: State-wise data is not available.

(b) & (c): In relation to Optionally Fully Convertible Debentures the Saharas have deposited an aggregate amount of Rs.15,506.81 Crores (against the Principal Amount Rs. 25,781.37 Crores) into  designated  'SEBI-Sahara  Refund'  Account.  SEBI  made  refunds  with  respect  to  17,526 eligible bondholders involving 48,326 Original Bond Certificates / Pass Books for an aggregate amount of Rs. 138.07 Crores (i.e., Rs. 70.09 Crores as Principal and Rs. 67.98 Crores as an Interest) by way of transfer through NEFT/RTGS.

(d):  In  terms  of  the  directions  issued  from  time  to  time  by  the  Supreme  Court  and  advice rendered by Justice (Retd) B N Agarwal appointed by the Supreme Court in this matter, SEBI issued  a  Press  Release  on  May  28,  2013  and  multiple  advertisements  during  the  months  of August-September 2014 and December 2014 which detailed the application process along with its  mechanism to apply  for refund. These were made available on the SEBI website and the bondholders of SIRECL and SHICL were also advised to make necessary applications to SEBI for refund of their money. SEBI also issued final advertisements on 26.03.2018 and 19.06.2018 informing the bondholders of SIRECL and SHICL that 02.07.2018 (cut-off date) is the last date for  receiving  applications  for  refund  and  that  no  application  would  be  accepted/  entertained after the cut-off date.

Further,  SEBI  has  also  filed  an  Interlocutory  Application  dated  21.10.2021  seeking  further directions from the Supreme Court in this matter and the same is presently pending before the Supreme Court.

(e)  and  (f):  As  regard  Sahara  India  Group  not  being  able  to  pay  back  the  investors  of  other schemes,  it  is  informed  that  the  principal  amount  raised  under  RHP  of  Optionally  Fully Convertible  Debentures  of  SIRCEL  and  SHICL  is  Rs.  25,781.37  Crores  against  which  only Rs.15,506.81  Crores  has  been  deposited  in  SEBI-Sahara  Refund  Account  and  the  SEBI  has been  facilitating  the  repayment  of  principal  and  interest  to  the  investors  who  invested  in Optionally Fully Convertible Debentures of SIRCEL and SHICL.

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