Lok Sabha Question No. 71 (STARRED), answered on 2023-07-25
Subject: Refund from Sahara Group Cooperative Societies
Ministry: COOPERATION
Asked by: Sangeeta Kumari Singh Deo, Sukanta Majumdar

## GOVERNMENT OF INDIA MINISTRY OF COOPERATION

## LOK SABHA STARRED QUESTION No. 71 TO BE ANSWERED ON 25/07/2023

## Refund from Sahara Group Cooperative Societies

## *71     SHRIMATI SANGEETA KUMARI SINGH DEO: DR. SUKANTA MAJUMDAR:

Will the Minister of COOPERATION ( सहकाįरता मंũी) be pleased to state:

(a) whether the Hon'ble Supreme Court has ordered the refund to about 10 crore investors of four cooperative societies of Sahara Group;

(b)  if  so,  whether  the  Government  has  got  transferred  Rs.  5,000  crore  out  of  unutilized amount of Rs. 24,000 crore lying unutilised in the Sahara-SEBI Refund Account;

(c) if so, the details thereof including details of the investors who applied and received the refund from the Government;

(d) the online and offline procedure of filing of application by the investors of cooperative societies of Sahara Group along with the average timeline, helpline number, nodal office and Standard Operating Procedure (SOP) for disposing of refund application for protecting the interests of the poor and underprivileged; and

(e)  the  other  corrective  steps  being  taken  by  the  Government  to  safeguard  the  small investments  of  poor  and  underprivileged  people  who  have  invested  in  various  cooperative societies in the country?

## ANSWER

THE MINISTER OF COOPERATION सहकाįरता मंũी (SHRI AMIT SHAH)

(a) to (e) : A statement is laid on the Table of the House.

Statement  referred  to  in  reply  to  parts  (a)  to  (e)  in  respect  of  Lok  Sabha  Starred Question No. 71 'Refund from Sahara Group Cooperative Societies' asked by Shrimati Sangeeta  Kumari  Singh  Deo  and  Dr.  Sukanta  Majumdar,  Hon'ble  Members  of Parliament due for reply on 25th July, 2023

- (a) to (d) :On an Application filed by the Ministry of Cooperation in the matter of WP (C) No.  191/2022  -Pinak  Pani  Mohanty  vs  UoI  &  ors.,  the  Hon'ble  Supreme  Court  vide order dated 29.03.2023, inter alia, directed that:
- i. Out of 24,979.67 crores deposited in 'Sahara-SEBI Refund Account', Rs. 5000 crores be  transferred  to  CRCS,  who  in  turn  shall  disburse  the  same against  the  legitimate dues of the depositors of the Sahara Group of Cooperative Societies, which shall be paid  to  the  genuine  depositors  in  the  most  transparent  manner  and  on  proper identification and on submitting proof of their deposits and proof of their claims and to be deposited in their respective bank accounts directly.
- ii. The disbursement shall be supervised and monitored by Justice R. Subhash Reddy, with assistance of Shri Gaurav Agarwal, Amicus Curiae. The manner and modalities for making the payment is to be worked out by the Central Registrar of Cooperative Societies  in  consultation with  Justice  R.  Subhash  Reddy,  former Judge  of  Supreme Court and Shri Gaurav Agarwal, learned Advocate.
- iii. The amount shall be paid to the respective genuine depositors of the Sahara Group of Cooperative Societies out of the aforesaid amount of Rs. 5,000 Crores at the earliest, but  not  later  than  nine  months  from  the  date  of  the  Order.  The  balance  amount thereafter be again transferred to the 'Sahara-SEBI Refund Account.

In compliance of the Hon'ble Supreme Court's Order dated 29.03.2023, Rs.5000 crores have been transferred  from  'Sahara-SEBI  Refund  Account'  to  'Sahara-CRCS  Refund  Account'. Accordingly,  an  Online  Portal  'Sahara-CRCS  Refund  portal'  has  been  developed  through StockHolding Document Management Services Ltd. (SDMS) for submission of claims by the genuine  depositors  of  four  Multi-State  Cooperative  Societies  of  Sahara  Group  i.e.  Sahara Credit  Cooperative  Society  Ltd.,  Saharayan  Universal  Multipurpose  Society  Ltd.,  Humara India Credit Cooperative Society Ltd., and Stars Multipurpose Cooperative Society Ltd. The entire process is digital. Necessary checks and balances have been incorporated in the Portal to ensure that only the legitimate deposits of the genuine depositors are refunded. The Portal has  been  launched  on  18.07.2023  and  can  be  accessed  through  Ministry  of  Cooperation website https://cooperation.gov.in and https://mocrefund.crcs.gov.in.

The genuine depositors of these Societies may login the portal and submit their refund claims by filing online application and upload requisite documents i.e. proof of their deposits and claims.  Only  claims  filed  through  online  portal  will  be  entertained.  Subject  to  fund availability,  the  payment  to  the  genuine  depositors  will  be  credited  in  their  Bank  account within 45 days after filing their online claims and they will be intimated the status through SMS/Portal.  The  Portal  will  benefit  genuine  depositors  of  Sahara  Group  of  Cooperative Credit  Societies,  who  have  not  been  refunded  their  legitimate  dues  for  a  long  time.  The Helpline  number  and  user  manual  along  with  Frequently  Asked  Questions  (FAQs)  are available on the portal for guidance/assistance of depositors.The depositors can also submit claim applications with the assistance of about 5.5 lakhs Common Service Centers (CSCs) across the country.

(e) An Amendment Bill to the Multi-State Cooperative Societies (MSCS) Act, 2002 has been introduced  in  the  Parliament  to  bring  the  Act  in  conformity  with  the  97th  Constitutional Amendment  and  also  to  make  reforms  to  strengthen  democratic  member  control,  protect members'  interest,  improve  governance  and  enhance  transparency.  The  office  of  Central Registrar is also being computerized to strengthen the monitoring of multi-State cooperative societies.

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