Sahara sells Rs 1,211-crore Gurgaon land to M3M to raise funds for Subrata Roy's release

Sahara has sold a big land parcel in Gurgaon for Rs 1,211 crore to M3M India, in a bid to raise funds to ensure the release of its jailed chief Subrata Roy.

The 185-acre land, with 12 million square feet built-up area, would be used for 'mix-use development' and has sales revenue potential of Rs 12,000 crore, Gurgaon-based developer M3M India said on Thursday while announcing the deal.

M3M India Director Pankaj Bansal asserted that it was not a 'distress sale' by Sahara and the deal has been signed on the basis of market price.

Bansal further said that the entire amount would be paid in instalments over a period of six months, while post-dated cheques have been given to Sahara Group for purchase of this land at Chauma village in Gurgaon.

The deal comes within days of Supreme Court permitting the Sahara Group to proceed with the sale of four domestic properties, which is likely to fetch Rs 2,710 crore, in its bid to raise Rs 10,000 crore for the release of Roy.

Besides this Chauma land, the apex court has also allowed the group to sell properties in Jodhpur, Pune and Vasai in Mumbai after it was satisfied that the transactions were in accordance with its June 4, 2014 order.

The SC bench was informed that the group has already generated Rs 184.5 crore as part payment for its assets in Jodhpur, Chauma and Vasai, following which it was allowed to hand over three demand drafts and one cheque to the Securities and Exchange Board of India's (Sebi) counsel.

Out of a list of nine domestic properties submitted earlier to the apex court, Sahara has already sold its Ahmedabad property and has raised Rs 411.82 crore which has gone into the account of capital market regulator Sebi.

Sahara Founder & Chairman Roy, who was sent to jail on March 4, 2014, in a case involving alleged non-refund of over Rs 20,000 crore with interest to depositors, was asked by the court to pay Rs 10,000 crore to get bail. Of the bail amount, Rs 5,000 crore is to be paid in cash and the remaining amount in bank guarantee.

Sahara, which had earlier raised Rs 3,117 crore and deposited with Sebi, told the court that out of nine domestic assets, it has now sold an Ahmedabad property and raised Rs 411.82 crore which has also gone into the account of the market regulator.