India's giant Sahara business group, charged with illegally raising $4.5 billion from millions of small rural savers, took out huge ads on December 01 declaring it never does anything "against the law".
The two-page newspaper adverts appeared before a Supreme Court hearing set for Monday on the case which has put the practices and finances of the conglomerate, headed flamboyant billionaire Subrata Roy, in the public spotlight.
Sahara, a household name in India through its sponsorship of the national cricket team, "is never against the law or the spirit behind the law", the ads stated.
Late in August, the court said Sahara, whose interests run from real estate to entertainment to financial services, had "no right to collect" funds from 29.6 million investors "without complying with any regulatory provisions".
Stating "an iron hand" must be used to deal with "economic offences", it told Sahara to deposit 240 billion rupees ($4.5 billion) with market regulator the Securities and Exchange Board of India (SEBI) by November 30 or risk having its assets seized.
The Sahara empire embraces the iconic New York Plaza Hotel, purchased just last month for $575 million, a stake in a Formula 1 racing team and a sprawling Indian luxury township. The dispute is the latest in a string of run-ins between regulators and Roy, a hero to millions of poor Indians for his rags-to-riches story and who lives in a mansion modelled on the White House - only bigger.
Comments
Comments are closed.