A complete review of Bad boys billionaire series of Netflix of all the 3 episodes in consideration of financial aspect, and how they have managed to escape covering all the loopholes they made .
A study on Vijay Mallya Scam Case: Vijay Vittal Mallya, once known to you and me as ‘The King of Good Times’ or also dubbed ‘ The playboy of the East’ was born to the Indian Entrepreneur Vittal Mallya in 1955. Vittal Mallya was largely known for the role played as the director of United Breweries (UB) Group which he achieved at the age of 23. Following his father’s sudden demise Vijay Mallya became chairman of the UB Group.Vijay Mallya was always known for his flamboyant and posh lifestyle. A testament to these were the lavish New Year Parties at his Kingfisher Villa in Goa or the birthday bashes thrown on his luxurious Yacht ‘ The Indian Empress’.
ppt on Nirav Modi or PNB scam with all details till 2020
the data is collected from Wikipedia, articles, and videos available on youtube and other platforms.
Life journey of Vijay Mallya from bang to bust along with all details like business owned by him,financial data,his interest and most important business strategy also.
A study on Vijay Mallya Scam Case: Vijay Vittal Mallya, once known to you and me as ‘The King of Good Times’ or also dubbed ‘ The playboy of the East’ was born to the Indian Entrepreneur Vittal Mallya in 1955. Vittal Mallya was largely known for the role played as the director of United Breweries (UB) Group which he achieved at the age of 23. Following his father’s sudden demise Vijay Mallya became chairman of the UB Group.Vijay Mallya was always known for his flamboyant and posh lifestyle. A testament to these were the lavish New Year Parties at his Kingfisher Villa in Goa or the birthday bashes thrown on his luxurious Yacht ‘ The Indian Empress’.
ppt on Nirav Modi or PNB scam with all details till 2020
the data is collected from Wikipedia, articles, and videos available on youtube and other platforms.
Life journey of Vijay Mallya from bang to bust along with all details like business owned by him,financial data,his interest and most important business strategy also.
Satyam and Nirav Modi Scam ( case study) by Karan SetiaKaran Setia
This presentation is about the complete case study of two of the biggest scams in the Indian banking and Stock Market History.
Nirav Modi, a diamantaire how he got famous with his links and fooled the Indian banking system with the help of his connections.
Satyam Computers Stock Market scam is still the biggest scam in the Indian history again bypassing with the loopholes in the Indian system
1) 11400 Crores Fraud
2) Nirav Modi, the billionaire jeweler who along with others scammed Punjab National Bank (PNB) of over 11400 crore’s has fled the country.
3) Apparently Nirav modi spotted in which placeWE DON’T KNOWBut What exactly is this scam?
4) The CBI has registered a case against Nirav Modi on January 29. Punjab National Bank registered a case against Nirav Modi, His Brother Neeshal & His Uncle Mehul Choksi on February 13.
5) The Bank initially reported a scam of rupees 280 crores. But it was later realized to be rupees 11400 crores. This is a lot of money. So how does one get away with a scam of such magnitude? Possibly it is one of the biggest in Indias’s banking history.
6) Nirav Modi is an importer of diamonds. Basically importers prefer to take loans in foreign currencies as interest rates on that are lower. In this case a loan that is taken from any overseas bank guaranteed by PNB. Then what Modi had to do was approach PNB & ask for buyers credit?In order to do this PNB had to issue a “letter Of Undertaking” to an overseas bank. Basically LoU guarantees an overseas bank that if it gives money for a specified period to identified by the home bank (in this case PNB) then the home bank will assure that the money will be returned to the overseas bank.
7) Most of these overseas banks are Indian Banks with foreign branches. So the overseas bank directly give to loan PNB not Nirav Modi. An account has to create by PNB called a NOSTRO account where the overseas bank gives the loan.
.
.
.
.
.
More.........
Adani Wilmar IPO Tentative Timetable
The Adani Wilmar IPO open date is Jan 27, 2022, and the close date is Jan 31, 2022. The issue may list on Feb 8, 2022.
Adani Wilmar IPO Lot Size
The Adani Wilmar IPO market lot size is 65 shares. A retail-individual investor can apply for up to 13 lots (845 shares or ₹194,350).
HERE IS THE PPT ON PNB SCAM
NIRAV MODI
WE MADE IT BASED ON EARLIER FACED FRAUD BY PNB
FRAUDSTER NAME IS NIRAV MODI
I THINK IT WILL CLEAR ALL YOUR DOUBTS ABOUT SCAM
In the fiscal year 2023, the Reserve Bank of India (RBI) documented bank frauds exceeding 302.5 billion rupees, equivalent to INR 30,000 cr. While this marked a decrease from the 1.3 trillion rupees reported in 2021, signifying a reversal in the trend of escalating bank frauds in India over the past decade, both in terms of the total number of frauds and their monetary value[1], the current figure is still staggering and citizens need to keep caution to protect their financial interest.
An additional study revealed a notable 69% of online fraud cases among Indian consumers in 2021, as reported in the Microsoft 2021 Global Tech Support Scam Research. The data from the Reserve Bank of India (RBI), while potentially excluding numerous undetected frauds, indicated a total value of scams amounting to 60,414 cr in the fiscal year 2021–2022. In the landscape of India’s financial sector, 2023 has been marked by a surge in sophisticated scams that exploit evolving technologies and capitalize on unsuspecting individuals. From the pervasive rise of UPI-related frauds to the cunning schemes enticing victims with unrealistic investment returns, the financial realm has witnessed a diverse array of fraudulent activities. QR code scams, part-time job deceptions, and the alarming emergence of courier scams targeting the youth have added new dimensions to the threat landscape.
Additionally, the omnipresence of malware-driven cybercrimes and the persistent challenge posed by tech support scams further underscore the need for heightened vigilance in navigating the intricate landscape of financial transactions. This overview delves into the top financial scams of 2023, shedding light on the methods, trends, and impacts that define the evolving face of financial fraud in the country.
Satyam and Nirav Modi Scam ( case study) by Karan SetiaKaran Setia
This presentation is about the complete case study of two of the biggest scams in the Indian banking and Stock Market History.
Nirav Modi, a diamantaire how he got famous with his links and fooled the Indian banking system with the help of his connections.
Satyam Computers Stock Market scam is still the biggest scam in the Indian history again bypassing with the loopholes in the Indian system
1) 11400 Crores Fraud
2) Nirav Modi, the billionaire jeweler who along with others scammed Punjab National Bank (PNB) of over 11400 crore’s has fled the country.
3) Apparently Nirav modi spotted in which placeWE DON’T KNOWBut What exactly is this scam?
4) The CBI has registered a case against Nirav Modi on January 29. Punjab National Bank registered a case against Nirav Modi, His Brother Neeshal & His Uncle Mehul Choksi on February 13.
5) The Bank initially reported a scam of rupees 280 crores. But it was later realized to be rupees 11400 crores. This is a lot of money. So how does one get away with a scam of such magnitude? Possibly it is one of the biggest in Indias’s banking history.
6) Nirav Modi is an importer of diamonds. Basically importers prefer to take loans in foreign currencies as interest rates on that are lower. In this case a loan that is taken from any overseas bank guaranteed by PNB. Then what Modi had to do was approach PNB & ask for buyers credit?In order to do this PNB had to issue a “letter Of Undertaking” to an overseas bank. Basically LoU guarantees an overseas bank that if it gives money for a specified period to identified by the home bank (in this case PNB) then the home bank will assure that the money will be returned to the overseas bank.
7) Most of these overseas banks are Indian Banks with foreign branches. So the overseas bank directly give to loan PNB not Nirav Modi. An account has to create by PNB called a NOSTRO account where the overseas bank gives the loan.
.
.
.
.
.
More.........
Adani Wilmar IPO Tentative Timetable
The Adani Wilmar IPO open date is Jan 27, 2022, and the close date is Jan 31, 2022. The issue may list on Feb 8, 2022.
Adani Wilmar IPO Lot Size
The Adani Wilmar IPO market lot size is 65 shares. A retail-individual investor can apply for up to 13 lots (845 shares or ₹194,350).
HERE IS THE PPT ON PNB SCAM
NIRAV MODI
WE MADE IT BASED ON EARLIER FACED FRAUD BY PNB
FRAUDSTER NAME IS NIRAV MODI
I THINK IT WILL CLEAR ALL YOUR DOUBTS ABOUT SCAM
In the fiscal year 2023, the Reserve Bank of India (RBI) documented bank frauds exceeding 302.5 billion rupees, equivalent to INR 30,000 cr. While this marked a decrease from the 1.3 trillion rupees reported in 2021, signifying a reversal in the trend of escalating bank frauds in India over the past decade, both in terms of the total number of frauds and their monetary value[1], the current figure is still staggering and citizens need to keep caution to protect their financial interest.
An additional study revealed a notable 69% of online fraud cases among Indian consumers in 2021, as reported in the Microsoft 2021 Global Tech Support Scam Research. The data from the Reserve Bank of India (RBI), while potentially excluding numerous undetected frauds, indicated a total value of scams amounting to 60,414 cr in the fiscal year 2021–2022. In the landscape of India’s financial sector, 2023 has been marked by a surge in sophisticated scams that exploit evolving technologies and capitalize on unsuspecting individuals. From the pervasive rise of UPI-related frauds to the cunning schemes enticing victims with unrealistic investment returns, the financial realm has witnessed a diverse array of fraudulent activities. QR code scams, part-time job deceptions, and the alarming emergence of courier scams targeting the youth have added new dimensions to the threat landscape.
Additionally, the omnipresence of malware-driven cybercrimes and the persistent challenge posed by tech support scams further underscore the need for heightened vigilance in navigating the intricate landscape of financial transactions. This overview delves into the top financial scams of 2023, shedding light on the methods, trends, and impacts that define the evolving face of financial fraud in the country.
Banking Architecture in India, Banking Regulation, Monitoring and Control in ...banhi.guha
Evolution of banks in India, growth of banking in pre and post-independence period, nationalization of banks, diversification of banking activities, banking sector reforms, RBI and its functions
The Presentation is prepared on the fraud case which happened at Punjab National Bank involving Gitanjali Gems Ltd. in the year 2018. The Presentation gives insights of the incident happened and how it is linked with violation of ethics in Indian ethos.
The owner Dhirubhai Hirachand Ambani who became a legend in his own life, was born in a modest household of a school teacher in a small town of Chorwad in Gujarat. In 1948, at his age 16, he went to Aden, Yemen, for a job in a company which was distributor of Shell oil. In his job, Dhirubhai worked at times as attendant in a Shell petrol pump. The story goes around that even as an attendant, he dreamed big and told his peers that in future he will make an oil company bigger than Shell. Few big dreams have been realized as well as those of Dhirubhai’s. Reliance Industries’ petroleum refinery at Jamnagar, is today the largest integrated refinery in the world. His message to the youth of India to ‘Dream Big’ truly reflected his life story.
Model Attribute Check Company Auto PropertyCeline George
In Odoo, the multi-company feature allows you to manage multiple companies within a single Odoo database instance. Each company can have its own configurations while still sharing common resources such as products, customers, and suppliers.
How to Make a Field invisible in Odoo 17Celine George
It is possible to hide or invisible some fields in odoo. Commonly using “invisible” attribute in the field definition to invisible the fields. This slide will show how to make a field invisible in odoo 17.
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
The Indian economy is classified into different sectors to simplify the analysis and understanding of economic activities. For Class 10, it's essential to grasp the sectors of the Indian economy, understand their characteristics, and recognize their importance. This guide will provide detailed notes on the Sectors of the Indian Economy Class 10, using specific long-tail keywords to enhance comprehension.
For more information, visit-www.vavaclasses.com
This is a presentation by Dada Robert in a Your Skill Boost masterclass organised by the Excellence Foundation for South Sudan (EFSS) on Saturday, the 25th and Sunday, the 26th of May 2024.
He discussed the concept of quality improvement, emphasizing its applicability to various aspects of life, including personal, project, and program improvements. He defined quality as doing the right thing at the right time in the right way to achieve the best possible results and discussed the concept of the "gap" between what we know and what we do, and how this gap represents the areas we need to improve. He explained the scientific approach to quality improvement, which involves systematic performance analysis, testing and learning, and implementing change ideas. He also highlighted the importance of client focus and a team approach to quality improvement.
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdfTechSoup
In this webinar you will learn how your organization can access TechSoup's wide variety of product discount and donation programs. From hardware to software, we'll give you a tour of the tools available to help your nonprofit with productivity, collaboration, financial management, donor tracking, security, and more.
Operation “Blue Star” is the only event in the history of Independent India where the state went into war with its own people. Even after about 40 years it is not clear if it was culmination of states anger over people of the region, a political game of power or start of dictatorial chapter in the democratic setup.
The people of Punjab felt alienated from main stream due to denial of their just demands during a long democratic struggle since independence. As it happen all over the word, it led to militant struggle with great loss of lives of military, police and civilian personnel. Killing of Indira Gandhi and massacre of innocent Sikhs in Delhi and other India cities was also associated with this movement.
2. Vitthal Mallya(Father of
Vijay mallya)
•Chairman of the company United
Breweries
•Liquor business was not considered as a
prohibited business in India
•For not coming into the lime light of the
news paper articles he used to pay them.
•After a sudden heart attack his father
died .
3. Earlier Times…
• Vijay mallya was the only son of
their parents .
• From his childhood he had toys
such as battery operated Ferrari,
Electric trains.
• At the age of 20 years he had
become famous for fast cars as
he had passion for motor racing
• He had to run his father’s empire
at the age of 28 years
4. Entering of Kingfisher ….
• IN 1985 in Banglore became
famous due IT engineers
• The fist PUB named ‘THE PUB’
started serving his brand named
KINGFISHER.
• He had a fleet of cars such as
MERCEDES –BENZ, BMW,
PORCHE AND MASERATTI
5. Liquor Companies
getting banned
•When his brand was gaining a
huge success, government
declared not to sale liquor
•Liquor was getting banned in
several states including Gujarat
as declared with a talk with
Mahatma Gandhi
•This was noted as a downfall
for mallyas company.
•This incident made mallya
think of getting KINGFISHER
Airlines in the market.
6. Wanted to become
number.1 in the
market.
•Mallya went to dallas to meet Mr.
Alex Wilcox (Former President of
KIngfisher Airlines) to introduce his
airlines to him.
•Started doing window-shopping for
his new airlines in JUNE 2005 by
purchasing-
•A319,A321,A330 Airplanes each
worth 65-170 million dollar .
7. Launching of Kingfisher
Airlines And Gaining
Market..
Kingfisher Airlines was launched
on 7th May 2005 ,on the birthday
of his son Siddhartha mallya
Neetu Shukla (Former Cabin Crew)
of kingfisher airlines narrates that
people are happy to acquire jobs
in the airlines
They were taught how to treat
people , how to serve people and
greetings of the day
Kingfisher Airlines was gaining a
huge success in the aviation field
with low cost flight fars, new food
menu in the airlines
8. Loop hole No-1
Taking money from banks
In 1969 Indira Gandhi had
nationalised all the banks and
this lead to a great opportunity
for Mallya
In order to take loan he went to
the IDBI bank and the public
servants started following the
orders of Mr. Mallya
All the money taken by the
banks was flowed into
upbringing of the airlines
But still he was going under the
debts
At this time he bought the
Formula -1 racing company
9. •Alex found that the aim of A Low cost
Airlines was getting shifted to a business class
airlines .
•By this way Mallya was creating a difference
between the economy class and the business
class in the airplanes
•This was the starting of decline of
Kingfisher Airlines .
•But on the other hand Mallya had an eye to
own Deccan Airlines because know he
wanted to Acquire the International Flights .
10. A bad luck …
•IN 2008, GDP was going
doing drastically and this ha
da great impact on the
aviation sector.
•In 2009 when Mr. Neeraj
monga (former Analyst )
travelled by Kingfisher he
found that the customer
service was extremely good.
•After studying deep into the
field he found that there
were no expenses left for the
day to day routine activities
•And resulted into a loss of
the company.
11. Loop hole -2
How was the banks
giving loans?
•In October 2009 he again
took a loan from IDBI BANK
•Gave a loan on the basis of
the fianancial statements,
his brand value .
•According to the law a bank
cannot give loan on basis of
intangible assets
•His debt began to increase
as his planes flew high in sky.
12. Loop hole -3
Were where the salaries
going?
Fuel prices increased gradually and
stopped all the payments and
salaries of the staff
His losses were going overhead.
Anjan Deveshwar was not paid for
6months a former engineer in his
airlines.
At the end he had lost everything
and in February 2013 had to close
KINGFISHER AIRLINES.
16. Who is Nirav Modi?
• Nirav Modi was born in Palanpur, Gujarat, and grew
up in Antwerp, Belgium. His family has been in the
diamond business for several generations.
• When he was 19, he and his father Deepak Modi
moved to Mumbai to work in his uncle's business,
Mehul Choksi, the head of Gitanjali Group.
• Modi attended the Wharton School at the
University of Pennsylvania but eventually dropped
out.
• After moving to India in 1989, and training in all
aspects of the diamond trading business, he
founded Firestar in 1999, a diamond sourcing and
trading company.
17. Rise of Nirav Modi
• In 2002, his company started manufacturing jewellery
on a contract basis.
• In 2008, a close friend asked Nirav Modi to make a
pair of earrings, after which he created the brand. In
2010 he launched a diamond store bearing his name
in New Delhi's Defence Colony, followed by one in
Mumbai's Kala Ghoda.
• He became well known after he designed his
"Golconda Lotus Necklace" with an old, 12-carat,
pear-shaped diamond as a centrepiece in 2010. It
was included on the cover of Christie’s catalogue in
Hong Kong, and was auctioned for US$3.6 million in
2010
18. • Established many shell companies in
various parts of the world, To inflate the
price of diamonds
• Locations of the shell companies were
USA, Cyprus, Barbados, Mauritius, UAE,
Hong Kong, Singapore
• Nirav Modi launched globally with
boutiques in New York City and Hong
Kong in 2015, followed by two other
boutiques opened in Hong Kong in 2016
and one in MGM Macau in 2016.
19. Fall of Nirav Modi
• To import diamonds, he approached PNB for
LoU.
• No schedule Credit limit and no Cash
Collateral was demanded, and the entries in
respect of LoUs issued were not recorded in
PNB’s CBS
• The overseas bank extends credit entirely
based on PNB’s LoU
• Nirav Modi should have sold his wares and
settles his dues with PNB
• According to reports the money was not paid
back by Nirav Modi and his LoUs kept getting
rolled over
20. PNB SCAM 2018
• Colluding officials sent SWIFT messages from
PNB’s South Mumbai Branch (Brady House) to
overseas banks offering unauthorised LoU
• Two officials of PNB were involved:
1. Gokulnath Shetty (deputy manager)
2. Manoj Kharat (Clerk)
• LoUs have been issued without the approval of
competent authorities and the entries in
respect of LoUs were not recorded in PNB’s
Core Banking System
21. How the Scam got
Exposed?
• PNB alleges that Business representatives of
Nirav Modi approached PNB on 16 January 2018
with a request of LoUs.
• The bank demanded 100% cash margin for
issuing LoUs, but the firms contested they had
received LoUs without any such guarantee in the
past, on 29 January PNB 2018 filed a complaint
with CBI
22. • Nirav Modi who disappeared in Feb 2018,
was in London since June 2018.
• In March 2019, Modi was reported have
been sighted in the UK by The Telegraph
• He was arrested in central London on 19th
March 2019
23.
24.
25. Subrata Roy
Subrata Roy was born in Bengali Hindu family in Araria on 10 June 1948 to Sudhir Chandra
Roy and Chhabi Roy.
He studied at Holy Child School in Kolkata and later
studied mechanical engineering from Government Technical Institute, Gorakhpur.
Roy started his first business in Gorakhpur.
Roy joined Sahara Finance, a struggling company, in 1976, that ran a chit fund and took it
over. He changed its financial model in 1978. Sahara is said to have used the financial
model of much older Peerless Group.
26. ABOUT THE COMPANY
Sahara India Pariwar is an Indian conglomerate headquartered in Lucknow.
Founded in 1978 it is a 40 years old company.
The company has an estimated market capitalization of US$25.94 billion as of
March 2011.
Business interests in finance, infrastructure & housing, media &
entertainment, consumer merchandise retail venture, manufacturing and
information technology
28. KAVEREE BAMZAI
(EDITOR INDIA TODAY)
JAMES CRABTREE
AUTHOR
SHANKARLAL GUPTA
BENIFITED AND CUSTOMER OF
SAHARA
SHARAT PRADHAN
(INVESTIGATIVE JOURNALIST)
29. RAJIV BAJAJ
FORMER VP, SAHARA GROUP
NISHA JAMVAL
FRIEND OF ROY’S
AYUSH AILAWADI
FINANCIAL CORRESPONDENT
VIVEK KUMAR
FORMER SAHARA EXECUTIVE
31. What is Debenture?
there are two (legit) ways to arrange money for starting or expanding a company
3.Suppose a Telefilm company is producing a new bogus saas-bahu series.
•So, it’s better just to borrow from public.
•Whoever gives you Rs.100, you give him a piece of paper titled “blah blah blah..these are the terms and conditions, repayment dates, interest
rates etc.”
•This piece of paper is called Debenture.
•In this case, you need 100 crores, meaning print 1 crore papers (debentures) each worth Rs.100.
•Whoever holds such paper units is called Debenture holder.
•The cash thus collected is a loan for the company. (=debt)
32. Difference between Bonds and Debentures?
Overall, the principle behind Bonds and Debentures is same: They offer fixed interest rate + principal repaid at the specified date.
1.Bond 2.Debenture
Issued by
1.Union Government
2.State Government
3.PSUs
Issued by companies.
•Second difference: the different rates of Stamp Duty applied on each of them.
•Third difference: The interest rate offered by Debenture is (usually) higher than Government Bonds. Because Government more likely to
repay = no need to seduce customers with higher interest rate.
Types of Debentures
Based on ‘convertibility’ the Debentures are of two types
•When debenture is converted into shares, it means debt holder becomes an equity holder.
•Both debt vs equity have their own advantages and disadvantages.
•But by and large, from the investor’s point of view, Debt is safer than Equity.
1.Convertible debentures
They can be converted into shares of the company on the expiry of xyz
date.
2.Non-Convertible Debentures They cannot be converted into shares.
33. What is Optionally fully-convertible debentures (OFCD)?
•These debentures can be converted into shares, when debt holder (investor) wishes (after expiry of xyz pre-decided date).
•But the “rate”, will be decided by the company e.g. 20 debentures =>1 share.
From investor’s view, this “option” to convert Debenture into Shares is good ONLY IF
1.Company is likely to make huge profit (so you, the shareholder can earn more dividend.) OR
2.Company’s share-price is likely to rise in the share market (then you can sell shares to third-party and make profit).
BUT if the Company is going bankrupt, then it is better to avoid converting the Debenture into shares. Because when a company is liquidated (i.e.
its assets sold off), the Debenture holders get the money before the shareholders.
It means Sahara OFCD is a bit tricky game. Investors should have some knowledge and understanding of share prices, company performance etc.
else they could lose money. (or end up not getting maximum profit out of their investment). Now let’s move to the SEBI-SAHARA case.
34.
35. SUPER MULTIPLIER
In this process people are
Said to re invest the money
With principle again
What they have earned
INVESTMENT ROLLOVER
In this process what you have invested will get
doubles and then become thrice and again after
re investing it will be 6.5X of
What you have invested initial
This both are the mix process in single pack
36. 2008-09: The game begins
Two firms of Sahara Conglomerate:
1.Sahara Housing Investment Corporation
2.Sahara India Real Estate Corporation. (aka Sahara Commodities)
These two companies Issued OFCD to collect money from investors.
~23 million people, mostly from villages and small towns subscribed to this scheme.
They invested ~24,000 crores rupees in these OFCDs of SAHARA.
37. November 2010 -
Securities and Exchange Board of
India barred Sahara India
Pariwar chief Subrata Roy and two of its
companies – Sahara India Real Estate
Corp (SIREC) and Sahara Housing
Investment Corp (SHIC) - from raising
money from the public as they had
raised several thousand crores through
optionally fully convertible debentures
(OFCDs) that SEBI deemed illegal.
December 2010 –
Sahara appealed in the Allahabad
High Court, which ordered SEBI not to
take any action until a court order is
passed.
38. January 2011 -
Delhi High Court issued a warrant
against Sahara India
Pariwar chairman Subrata Roy and
four other officials of the group on a
complaint that it deceived investors
in a proposed housing project of Rs.
25,000 crore
• February 2011 -
• Delhi High Court stays
proceedings against Sahara
India
Pariwar chairman Subrata
Roy and four other
officials of the group on a
complaint that it deceived
investors in a proposed
housing project.
May 2011 –
Supreme Court of India asked
Sahara India Real Estate (SIREC) to
furnish the format of the application
for its optionally fully convertible
debenture (OFCD) scheme and a list
of accredited agents that raised
money on the company's behalf
• June 2011 -
• SEBI ordered Sahara firms
to immediately refund the
money collected through
its sale of OFCDs.
October 2011 –
Securities Appellate Tribunal (SAT),
set up by the Supreme Court, ordered
two unlisted Sahara group companies
to refund within six weeks about Rs.
17,656.53 crore with 15% interest,
which it had raised through OFCDs
• November 2011 -
• Sahara India
Pariwar moved the
Supreme Court against
SAT's order and the
Supreme Court stayed the
SAT order, and asked the
two companies to refund
Rs. 17,400 crores to their
investors and asked the
details and liabilities of the
companies.
39. January 2012
• Supreme Court gives three weeks time to Sahara India Pariwar to choose between options to
return investments made by public in its OFCD scheme. Sahara to either to give sufficient
bank guarantee or attach properties worth the amount raised through OFCDs.
May 2012
• Supreme Court is informed by senior counsel Fali Nariman of Sahara India Real Estate Corp
that SEBI could not have taken up this issue of Sahara Group of companies raising funds
through OFCD as there was no complaint from any investor.
June 2012
• SEBI informed the Supreme Court that the real estate division of Sahara India Pariwar had no
right to mobilize Rs. 27,000 crore from investors through OFCD without complying to the
norms of the market regulator - SEBI
August 2012
• Supreme Court directed Sahara India Real Estate Corporation Ltd. (SIRECL) and the Sahara
Housing Investment Corporation Ltd. (SHICL) to refund over Rs. 24,400 crore to its investors
40. 2012: Supreme Court hearing
To SAHARA
We are unconvinced with your logic that OFCD schemes don’t come
under the scope of SEBI.
Mostly rural people have Invested money in your schemes and they’re
not aware of OFCD.
At the end of day, they would come and say that they were cheated.
It seems you have no intention of returning the investors’ money. Your
intentions are shady.
We order you to refund the money.
To SEBI
If those two companies of SAHARA donot refund money, you’re free to
attach their properties and freeze their bank accounts.
Also conduct a probe against those two Sahara companies to find out
their actual subscriber base. (to make sure money laundering is not
going on.)
Check the genuineness of the investors and if the investors are not
traceable, the amount will go to the government.
41.
42.
43. WHAT SAHARA DID WRONG?
• In DRHP said their company as the private company but operated as the public
company.
• Took money through OFCD from more than 50 people and violating what
they have written in the DRHP.
• Never reported to the SEBI.
• Made fake investors and took money on the names of these investors.
• Used the illegal methods such as money laundering.
44.
45. EP3 "The World's Biggest Family"
1. Sahara India Pariwar is an Indian conglomerate headquartered in Lucknow. Founded in 1978 it is a 40 years old company
2. SAHARA COMPANIES INVOLVED IN THE CASE SAHARA PRIME CITY LTD.
• Sahara India Real Estate Corp (SIREC) and Sahara Housing Investment Corp (SHIC)
3. Legal Cases on Sahara:- • Money Laundering • Fictitious Investors • Dummy Shares
4. A DRHP is a preliminary registration document prepared by merchant bankers for prospective IPO-making companies in the
case of a book building issue. It includes information that is necessary to issue an IPO
5. OFCD:- Optionally convertible debentures are debt securities which allow an issuer to raise capital and in return the issuer
pays interest to the investor till the maturity
Repercussion
•Refund is being made
from Rs. 5,120 crore
deposited by Sahara
•Refund of estimated
amount of Rs. 24,000
crore
•SEBI is demanding
personal asset details,
bank a/c of Subrata Roy
SEBI filed the
petition to
Supreme
Court
• Confirmation of
violation of rules and
regulations and
therefore, order
against Sahara was
passed
• SEBI has demanded
arrest of Subrata Roy
(SIREC) and
(SHIC)
investigated
•Took money through
OFCD from more than 50
people and violating
what they have written
in the DRHP.
•Never reported to the
SEBI.
• Made fake investors and
took money on the
names of these investors
A letter to
the SEBI
• Reviewing the Draft
Red Herring
Prospectus (DRHP)
to raise equity for
real estate company
• Sahara Prime City Ltd
through an initial
public offering (IPO)
How it
started
•A note to the National
Housing Bank, requesting
the Bank to look into the
housing bonds issued by
Sahara India Real Estate
Corp (SIREC) and Sahara
Housing Investment Corp
(SHIC),