Indian Billionaires and Their Share of Controversies

BANGALORE: As businesses are spending more and more on public relations,  there’s no dearth of controversies popping up to rupture those coveted, hard-earned public images. How do big businesses cope with controversies? Once a controversy comes into the public sphere, how does it affect the business? Does everything come to a standstill or go on as usual? Indian business witnessed a number of high profile controversies in recent times involving some of its top guns. Let’s have a quick look at the back grounds and fall outs of some of these high profile cases, with inputs from Rediff.com.

Subrata Roy: On 26^th February 2014, the Supreme Court ordered the arrest of Sahara Chief Subrata Roy. On 4^th March the news media flashed the ink smeared face of Roy walking into Supreme Court.What led to this dramatic downfall? It all dates back to the SEBI order of November 2010 baring two Sahara group companies, Sahara India Real Estate Corp and Sahara Housing Investment Corp, for raising funds from the public. On October 2011, the Securities Appellate Tribunal ordered the Sahara Group to refund 24,000 crore raised from the public. On 19^th October 2012, the Supreme Court asked SEBI to initiate action against the two Sahara Group companies if they fail to refund investor’s money as directed by the apex court. Finally, on 26^th February 2014, the Supreme Court ordered the arrest of Roy for non appearance in court in a contempt case involving the non-repayment of 20, 000 crore to investors.

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