While accepting Roy's apology, the Bench rapped the Sahara Group chairman for not abiding by its order and taking contradictory stand on payment of investors' money
Amid high drama, Sahara Group chief Subrata Roy on Tuesday appeared before the Supreme Court, which extended his custody till the next hearing on 11th March. While ordering the custody of Roy, the apex court, however, clarified that it is not an order on contempt.
Two more male directors of the company were also ordered to be taken into custody. However, company director Vandana Bhargava was spared.
A bench of Justices KS Radhakrishnan and JS Khehar said, "Subrata Roy to remain in police custody today. Two other male directors also directed to be taken into custody."
The court said it was not happy with the proposal of Sahara on refund of money as “they have not come up with any concrete proposal and bank guarantee.”
The apex court also told the Sahara group chief that he can't make payment in cash as it is contrary to law. "You have to make payment through demand draft or cheque," the Bench said.
Earlier Sahara counsels Ram Jethmalani, Ravi Shankar prasad and Rajiv Dhawan stuck to arguments that verification of documents was not done by SEBI and that refunds were already made.
SEBI counsel Arvind Datar presented the efforts made by the market regulator and explained the group has been making contrary statements. "Every time we disprove their story. They revise the story," he said accusing the group of wasting time.
The Supreme Court also accepted unconditional apology tendered by Sahara chief Roy for not appearing before it last Wednesday.
During the hearing, Roy also assured the apex court that its order will be followed by him and sought more time for refunding money to investors.
"I have full faith in you. Punish me if I don't comply with your order," Roy told the apex court.
While accepting Roy's apology, the Bench rapped the Sahara Group chairman for not abiding by its order and taking contradictory stand on payment of investors' money.
"You pushed us to the corner. Had you been serious, this position would not have arrived,” the apex court told Roy.
Accepting Roy's apology, the apex court said, "We respected you; you failed to respect us."
While directing custody of Roy and two others, the apex court said it is implementing its order (issued earlier).
Earlier, Manoj Sharma from Gwalior threw black ink on the face of Roy when the Sahara group chief was being brought to the Supreme Court amidst chaotic scenes.
Sharma, who reportedly has a previous record of having thrown a shoe at Congress MP Suresh Kalmadi when he was being brought to a court, removed his shirt and shouted that “He (Roy) is a thief. He has stolen people’s money and I am against thieves”.