S.E.B.I. vs SAHARA INDIA REAL ESTATE CORP. LTD.(SIRCL) AND ORS.

The Supreme Court upheld the orders of SEBI and the Securities Appellate Tribunal (SAT) regarding Sahara India Real Estate Corporation Limited (SIRECL) and Sahara Housing Investment Corporation Limited (SHICL), emphasizing that the mobilization of funds through Optional Fully Convertible Debentures (OFCDs) was not legally permissible under the relevant securities laws. The Court directed Saharas to refund the amounts collected from investors along with interest at 15% per annum, and to deposit the total amount with SEBI within three months, failing which it would be inferred that they had not complied with the refund directive. The Court's holding reinforced the regulatory authority of SEBI in protecting investor interests and ensuring compliance with securities regulations.