The Delhi High Court Tuesday stayed the proceedings against Sahara India group chairman Subrata Roy and four others in a court here on a complaint that they had duped investors in a proposed housing project.Justice Ajit Bharihoke said: “The proceedings and the execution of the warrants against Roy and four other company officials would remain stayed till May 10, the next date of hearing.”
A Delhi court last month issued a bailable warrant against Roy and the four officials on a complaint that they had duped investors in the project of Rs.25,000 crore, holding that there was enough prima facie material to proceed against them.
Senior advocate Abhishek Manu Singhvi, appearing for Sahara India group, said: “The order of the lower court was malicious as, instead of issuing summons first, it straightaway issued the bailable warrants against Roy and others.”
Chief Metropolitan Magistrate Vinod Yadav earlier asked Delhi Police to execute the warrant against Roy and others by Feb 9.
The lower court passed its order after conducting an inquiry and recording the testimony of complainant Neeraj Pandey and his wife Beena, who alleged they were not allotted a flat even after investing over Rs.1 lakh in the proposed housing project “Sahara Swaran Yojana” in the National Capital Region (NCR) in 2003.
Pandey filed the compliant against six people, including Roy, deputy managing directors Om Prakash Srivastava, Joy Broto Roy and Swapna Roy and Delhi projects in-charge H.S. Rawat.
The complaint, filed April 12, 2009 alleged that despite the promise to give him the house, no progress was made in its project in the NCR region and the company after six years offered to return Rs.1.58 lakh.
The complaint said the company duped investors by promising to build 217 townships across the country.