Shares of Sahara Housingfina Corporation and Sahara One Media & Entertainment tanked as much as 19 per cent today after SEBI ordered freezing of bank accounts and attachment of all investments and properties of the two group firms and their top executives.

Following this, Sahara group’s only listed firms — Sahara Housingfina and Sahara One Media — fell sharply even as the group claimed the actions taken by SEBI were based on “old facts” and the orders for attaching the assets of individuals was incorrect on the part of the market regulator.

Shares of Sahara Housingfina Corporation plunged 19.11 per cent to Rs 44 — its 52-week low on the BSE. Similarly, Sahara One Media & Entertainment tumbled 4.81 per cent to hit a one-year low of Rs 82.10.

Investor refund case

Coming down heavily on Saharas in investor refund case involving over Rs 24,000 crore, the Securities and Exchange Board of India had last night ordered freezing of bank accounts and attachment of all investments and properties of the two Sahara firms and their top executives, including group chief Subrata Roy.

The assets being attached include those related to the group’s Aambey Valley resort town near Pune, other real estate assets in Delhi, Mumbai and at other places across the country, shares, mutual funds and various other investments.

SEBI order

Passing two separate orders, together running into 160 pages, against Sahara Housing Investment Corporation Ltd and Sahara India Real Estate Corporation Ltd, SEBI said that the two companies had raised Rs 6,380 crore and Rs 19,400 crore, respectively, from bondholders and “various illegalities” were committed in raising of these funds.

With regard to Subrata Roy and three other directors, namely Vandana Bhargava, Ravi Shanker Dubey and Ashok Roy Choudhary, SEBI ordered freezing of all bank and demat accounts of these four persons, as also attachment of all movable and immovable properties in their name with immediate effect.

(This article was published on February 14, 2013)
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