This is with regard to “A New Long-term Portfolio.” This is a fantastic idea. I am sure many...
The Sahara Group has claimed that the actions taken by SEBI were based on “old facts” and the orders for attaching assets of individuals are incorrect on part of the market regulator
The Securities Appellate Tribunal (SAT) will hear an appeal by industrialist Subrata Roy Sahara on Thursday, whose group is mired in a long-running dispute with the Securities and Exchange Board of India (SEBI) in connection with refund of money raised from public through issuance of bonds.
Two Sahara firms, Sahara India Real Estate Corporation and Sahara Housing Investment Corporation, were asked by the Supreme Court to refund to investors an amount totalling over Rs24,000 crore, which they had raised through issue of bonds. After the expiry of a deadline set by the court, SEBI said that the companies have not complied with the orders and issued attachment orders against the bank accounts and other assets of the two firms and their top officials, including group chief Subrata Roy.
Besides, the market regulator has also issued public notices cautioning the general public and investors against dealing with the two Sahara group firms and their top executives due to an order for attachment of their assets. The Supreme Court had passed its first order in this case on 31 August 2012 and SEBI was asked to facilitate the refund.
In December 2012, the group was allowed to pay the money in three instalments, including an immediate payment of Rs5,120 crore, followed by an instalment of Rs10,000 crore in January first week and remainder by February first week. The Sahara Group has paid Rs5,120 crore to SEBI and claims that this amount itself is more than the total outstanding liability towards the bondholders of the two companies.
In its attachment orders last month, SEBI said that neither of the two instalments was paid and therefore it was taking necessary action as per the Supreme Court orders. The regulator said it has ordered “attachment of all movable and immovable properties, bank accounts and demat accounts of these two companies and that of its promoters and directors namely Subrata Roy Sahara, Vandana Bhargava, Ashok Roy Choudhary and Ravi Shankar Dubey.”
The Sahara Group has claimed that the actions taken by SEBI were based on “old facts” and the orders for attaching assets of individuals are incorrect on part of the market regulator. In an unusual development last week, Sahara group also claimed that it fears income tax raids on it at SEBI’s behest.
The Directorate General of Central Excise Intelligence has issued the show-cause notice after its investigation found that the company misused “area-based exemption” for its new unit in Baddi, Himachal Pradesh even before it came into existence
Chocolates and confectionery major Cadbury India has been issued a notice for a demand of over Rs250 crore in excise duty allegedly evaded by it by claiming exemption for a non-existing' production unit.
The Directorate General of Central Excise Intelligence has issued the show-cause notice after its investigation found that the company misused “area-based exemption” for its new unit in Baddi, Himachal Pradesh even before it came into existence, official sources said.
The Directorate General of Central Excise Intelligence has given the company 30 days to respond. A Cadbury India spokesperson said it will respond to the show-cause notice in consultation with its legal advisers. "We are in the process of reviewing the contents of the show-cause notice from the Excise Department and will respond to it in consultation with our legal advisers. A show-cause is a matter of form in any such enquiry," the spokesperson said.
“A compliant and ethical corporate culture, which includes adhering to laws and regulations in the countries in which we operate, is integral to our success. To that end, we have been fully cooperating with the authorities on this enquiry.
“Since the process is currently under way, it will be inappropriate on our part to discuss the details at this time,” he said. Under central government norms, the area-based exemption for new industrial units of firms in Himachal Pradesh provide full exemption from excise duties for specified goods for a period of 10 years.
However, for availing this, the unit should have been established before March 2010. During investigation, the officials found that the company claimed excise duty exemption for its new unit in Sandoli village in Baddi relating to a period even before it came into existence, the sources said.