Subrata Roy's Sahara scam: Where is Rs 25,000 crore submitted to Sebi and how to claim refund?

Death of Sahara Group's chief Subrata Roy has brought undistributed funds worth over Rs 25,000 crore with market regulator Securities and Exchange Board of India (Sebi) back in focus.

Roy passed away in Mumbai on Tuesday night at the age of 75 after battling a prolonged illness.

Spotlight is now back on the investors who are still in the process of claiming their invested money from the four cooperative societies of the Sahara Group.

In 2011, capital markets regulator Sebi ordered two Sahara Group firms -- Sahara India Real Estate Corporation Ltd (SIREL) and Sahara Housing Investment Corporation Ltd (SHICL) -- to refund the money raised from nearly 3 crore investors through certain bonds known as Optionally Fully Convertible Bonds (OFCDs).

This order came after the regulator ruled that the funds were raised by the two firms in violation of its rules and regulations.

After a long process of appeals and cross-appeals, the Supreme Court on August 31, 2012 upheld Sebi's directions asking the two firms to refund the money collected from investors with 15 per cent interest.

Sahara was eventually asked to deposit an estimated Rs 24,000 crore with Sebi for further refund to investors, though the group has been maintaining that it had already refunded more than 95 per cent of investors directly.

Meanwhile, the Centre in August started the process to refund Rs 5,000 crore of depositors whose funds are struck in four cooperative societies of Sahara Group.

Before this, Cooperation Minister Amit Shah launched the 'CRCS-Sahara Refund Portal' in July to facilitate the return of the money to investors. Around 18 lakh depositors have been registered on the portal.

In March, the government announced that the money would be returned to 10 crore investors of the four cooperative societies within 9 months.

The announcement followed a Supreme Court order directing the transfer of Rs 5,000 crore from the Sahara-Sebi refund account to the Central Registrar of Cooperative Societies (CRCS).

According to sources from the Ministry of Cooperation, more than 18 lakh people had applied for claims on the portal by August. Through the portal launched in July, the first payment of up to Rs 10,000 for depositors, whose deposit amount is Rs 10,000 or more, will be made.

List of documents needed to make the claim

* Membership Number
* Deposited Account Number
* Aadhaar should be linked with the an active mobile number
* Certificate/Passbook details of the deposit

How to claim refund

* Go to CRCS- Sahara Refund Portal
* On Depositor Registration page, insert 12-digit Membership Number,last four digits of Aadhaar number, 10-digit Aadhaar-linked Mobile Number, and the captcha.
* On Depositor Login page, give last four digits of Aadhaar number, 10-digit Aadhaar-linked mobile number.
* Click on Get OTP and enter the OTP.
* Give consent and accept the terms and conditions.
* On Personal Details screen, provide details and click Get OTP.
* Details of the Aadhaar user will be displayed such as first name, middle name, last name, date of birth, and Father/Husband name.
* Provide with details on Certificate of Deposit and click on Submit Claim.
* Fill in your claim and make sure it is correct as it can't be corrected later.
* Attach a photograph for proof.
* Sign the claim along with PAN card document by clicking on “Upload Document”.
* Note down the claim request for future reference.

With inputs from PTI