No financial institution is ready to pay for Subrata Roy’s bail!

In a major development to the very infamous Sahara case, the Supreme Court of India has now asked Sahara chief Subrata Roy to furnish Rs 5,000 crore in cash and a bank guarantee of equal amount to secure his release from the prison.

Roy, however, will have to remain in jail as one of the financial institution have backed out, informed senior advocate Kapil Sibal representing Roy’s case in the court.

A bench of justices T S Thakur, A R Dave and A K Sikri, while pronouncing its order said, "We have accepted the format of bank guarantees", with subject to certain conditions.

Roy had also been asked to pay Rs 36,000 crore to the Security Exchange Board of India (SEBI) within 18 months from March 4, 2014, the day when Sahara Chief was arrested. The court has also allowed market regulator SEBI to encash the bank guarantees to be furnished by the Sahara chief, in case he defaults in the payments of two installments.

Sahara chief will have to surrender himself back to the jail if he defaults in payments in three installments, the court ordered.
It also asked Roy to keep apprising fortnightly the Tilak Marg police station about movements inside the country and that he, along with two other jailed directors shall not leave the country without prior permission of the court.

The court, however, allowed facilitating Roy with telephone and Internet connectivity inside the jail and extended it by eight weeks.