Subrato Roy to remain in jail

The Supreme Court today rejected the bail plea of Sahara Chief and termed his jailing legal

New Delhi, May 6 (PTI): Coming down heavily upon the Sahara Group for “systematically” frustrating all orders on refund of over Rs. 20,000 crore to depositors, the Supreme Court today dismissed the petition of its chief Subrato Roy against his detention saying the order jailing him was “legal”.

Upholding its order to detain him, the court asked the group to make a fresh proposal for depositing Rs 10,000 crore to get bail.

A bench of justices K S Radhakrishnan and J S Khehar in a strongly-worded judgement deprecated the attitude of Roy and the group for not complying with its order and for showing “demeanour of defiance”.

The apex court said it adopted tough method to detain him only after all its efforts to “cajole” the group to pay the money failed. The judgement, which was delivered by Justice Khehar, said their orders were “systematically frustrated” by Roy and the Group and facts revealed that it flouted all orders of the Supreme Court, High Court and Securities Appellate Tribunal.

The bench brushed aside Roy’s contention that it should recues itself from hearing his case and that proper procedure was not followed by it before sending 65-year-old businessman behind the bars.

The court passed the order on a petition filed by Roy challenging constitutional validity of its order passed on March 4 by which he was sent to jail for not complying with its order to deposit around Rs 20,000 cr. of investors money with SEBI.

“We find no merit in the petition and we dismiss it,” The bench said.

After the bench delivered the verdict in a jam-packed courtroom, senior advocate Rajiv Dhawan queried on the status of the application in which Roy had given a proposal on depositing Rs 10,000 crore in a phased manner to get bail.

The bench, however, asked him to file a fresh proposal, virtually indicating that earlier proposal was not acceptable to the court.