Subrata Roy passed away
Sahara chief Subrata Roy, 75, passed away. He breathed his last in Mumbai. He was undergoing treatment in a private hospital in Mumbai. His last rites will be performed in Lucknow on Wednesday. Subrata Roy is the name who created a business worth Rs 2 lakh crore by selling namkeen and biscuits on a scooter. There was a time when he had influence from politics to Bollywood. However, while Subrata Roy reached the throne from the floor, there also came a period in his life when he again came from the throne to the floor.
Sold biscuits and snacks on scooter
Subrata Roy, a resident of Araria district of Bihar, did not feel much like studying. His initial education was in Kolkata and then he reached Gorakhpur. It was the year 1978 when Subrata Roy, along with one of his friends, started selling biscuits and namkeen on a scooter. The specialty of Subrata Roy was that he was an expert in selling dreams. Along with a friend, he started a chit fund company. He started para banking. Targeted the poor and middle class. Even people earning only Rs 100 used to deposit Rs 20 with him. His scheme became famous in every corner of the country. Lakhs of people started joining Sahara.
Entered housing development sector
In the year 1980, the government banned Subrata Roy’s scheme. This was the period when Sahara entered the housing development sector. After this, he started spreading his wings in one sector after another. The support had spread to real estate, finance, infrastructure, media, entertainment, health care, hospitality, real estate, retail, information technology. The sound of Sahara started ringing not only in the country but all over the world. Sahara was the sponsor of Team India for 11 years. As Sahara’s business grew, Subrata Roy’s wealth increased.
Was famous for lifestyle and luxury
Subrata Roy became famous for his lifestyle and luxury. He has two luxurious hotels worth Rs 4400 crore in New York City, America. The development site is 313 acres in Abbeyvalley, Mumbai and comprises 113 acres of land in Barsova, Mumbai. Subrata established his entire city on 170 acres of land in Gomtinagar, Lucknow. He owns 764 acres of land in different parts of the country. It is believed that he spent more than Rs 500 crore on the marriage of his sons. Many well-known personalities had attended this wedding.
More than 11 lakh employees joined Sahara
Times Magazine had described Sahara as the second largest employer after Railways. More than 11 lakh employees were part of Sahara, but then fate took such a turn that no one could have imagined that the days of Subrata Roy, who called himself Sahara Shri, would turn out to be such that he would have to face jail. That was the year 2009, when Sahara had planned to launch an IPO of the company. When Sahara applied for IPO to SEBI, SEBI asked it for DRHP i.e. complete biodata of the company.
SEBI found irregularities in documents
With this the bad days of Sahara had started. In the year 2009, Sahara proposed to SEBI to bring IPO of its two companies Sahara India Real Estate Corporation Limited and Sahara Housing Investment Corporation Limited. SEBI found irregularities in Sahara’s documents. Sahara was accused of misusing the money of its investors. SEBI alleged that Sahara raised Rs 24,000 crore from 3 crore investors of its two companies, even though their companies were not listed in the stock market. In case of violation of rules, a fine of Rs 12000 crore was imposed on Sahara.
Sahara had sent 127 truck documents
When SEBI asked Sahara for details and documents of investors, 127 truckloads of documents were sent by Sahara. These trucks caused traffic jams on the outskirts of Mumbai. The matter reached the Supreme Court, where famous lawyer Ram Jethmalani presented arguments on behalf of Subrata Roy. He tried his best to save Subrata Roy, but could not succeed. The Supreme Court’s stance remained strict towards Subrata Roy. Sahara was directed to return Rs 24,000 crore to investors with 15 percent interest.
Subrata Roy was arrested in February 2014 for disobeying the Supreme Court order. After being in jail for two years, he came out on parole, but Sahara’s investors suffered loss due to this. No one is able to answer the question of when will they get their money. Sahara alleges that SEBI has kept Rs 25,000 crore of its investors with itself. Neither till now have the investors received their full money and now Subrata Roy remains in this world.
Sahara chief Subrata Roy passes away, breathed his last in Mumbai hospital
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