Sterling Biotech: SC orders release of Rs 5,100 crore to banks

New Delhi: The Supreme Court has asked its registry to release ₹5,100 crore deposited by former directors of Sterling Biotech (SBL), Nitin and Chetan Sandesara, to banks on "proportionate basis" within a week. However, the apex court restrained the registry from entertaining any further claims by unsecured creditors.

The bench, comprising Justices JK Maheshwari and Atul S Chandurkar, said "the amount so deposited shall be disbursed to the lender banks on proportionate basis in reference to the amount due towards them". The court also asked Solicitor General Tushar Mehta to seek instructions on "the Sebi issue and also on closing of every other issue". The Sebi probe relates to allegations the promoters secured loans from foreign banks and routed funds into their company as purported investments, which investigators suspected could mislead investors. The apex court will hear the case next on April 2.