SEBI, seems confident that safeguards are in place for the contracts to be traded without abuses.
The court told Sahara to deposit the money with SEBI, which was asked to administer the refunds.
Lawyers for both SEBI and Sahara appeared before tribunal member Jog Singh Thursday.
The court authorized SEBI to seize Sahara properties if the company failed to repay the money within a certain time period.
They were asked to initially deposit 51.2bn rupees with India's capital markets regulator, the Securities and Exchange Board of India (SEBI).
On Wednesday, Sahara said that it believed that its liability was unlikely to exceed the 51.2bn rupees it had already deposited with SEBI.
Meanwhile, SEBI also ordered the attachment of the firms' properties as well as those of top executives, including the flamboyant Chairman Subroto Roy Sahara.
Spokesmen for Sahara and SEBI didn't respond to calls for comment.
Sahara later asked the court for more time to repay investors, and was ordered to deposit the money with SEBI by the first week of February.
Last week, Mr. Roy filed an appeal with the Securities Appellate Tribunal, which hears appeals against SEBI's orders, to protest the decision to freeze his assets.
In 2011, SEBI said that two Sahara real estate companies broke securities rules by issuing bonds to individuals between 2008 and 2011, but masking them as private placements.
In August last year, the Supreme Court upheld SEBI's 2011 order directing Sahara to repay its bond holders as it had flouted capital market rules while issuing the bonds.
Both registrations are granted by the market regulator, SEBI.
What's needed to restore confidence after this one is a more professional and active SEBI and a judicial system which does not, through delay, deny justice to investors who have been cheated.
SEBI's latest move escalates a long-running battle between the regulator and the Sahara Group, which has interests in several industries like media and real estate, and owns the The Plaza Hotel in Manhattan.
That's why the new regulations that SEBI is now introducing for settlements and the new limits on borrowing to finance share purchases might not be as effective in practice as they appear on paper.
"Because of the room created by unifying categories, the current SEBI auction mechanism allocating debt limits for corporate bonds will be replaced by an "on-tap" system currently in place for infrastructure bonds, " the minister said.
Last month, SEBI said that Sahara had failed to deposit the money, so it passed orders to seize all properties and freeze bank accounts held by the two Sahara Group companies, Mr. Roy and two other founders.
In a statement posted on its website on Feb. 13, SEBI said it would seize all properties and freeze bank accounts held by two Sahara Group companies as well as its founder Subrata Roy for failing to repay the money by the court-set deadline.
But Sebi chairman, DR Mehta, told the BBC that he was confident the markets would respond well to a measure which will not only curb excessive speculation, but do away with a system which was sometimes used by unscrupulous operators to rig the stock markets.
According to this person, SEBI in its application to the Supreme Court asked that Mr. Roy, and other founders of two Sahara real estate firms, be detained in a civil prison and they be told to surrender their passports to the court to prevent them from fleeing the country.
As an Indian civil servant for nearly 40 years, Mehta has held such positions as the Deputy Governor of the Indian Reserve Bank and Chairman of the Securities and Exchange Board of India (SEBI), which is the equivalent of the Securities and Exchange Commission (SEC) in the United States, among several other high-profile posts.
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