Sebi issues Rs 6.42 cr demand notice to Sahara group in OFCD issuance case

Sebi on Wednesday sent a notice to Sahara Group firm, its chief Subrata Roy and others asking them to pay Rs 6.42 crore within 15 days in a case pertaining to flouting regulatory norms.

Sebi also warned of attachment of assets and bank accounts, if they fail to make the payment.

The notice came after the entities failed to pay the fine imposed on them by the Securities and Exchange Board of India (Sebi).

The regulator, in its order in June, levied a fine totalling Rs 6 crore on five entities -- Sahara India Real Estate Corporation (now known as Sahara Commodity Services Corporation), Subrata Roy, Ashok Roy Choudhary, Ravi Shanker Dubey and Vandana Bharrgava -- for violating regulatory norms in the issuance of optionally fully convertible debentures (OFCDs).

The case relates to issuance of OFCDs by Sahara India Real Estate Corporation and Sahara Housing Investment Corporation during 2008-2009. They raised money through public issue of securities by issuing OFCDs without following t