The Supreme Court has cleared the way for embattled conglomerate Sahara to raise fresh loans totalling $1.05 billion using its overseas hotels, helping the group to fund the bail payment needed to release its jailed boss.
The Supreme Court has set conditions on the fund raising, however, and on Friday asked Sahara to obtain necessary approvals from the Reserve Bank of India and other authorities to comply with foreign exchange rules.
Ruling on Sahara's plea, the court also permitted the group's chairman Subrata Roy to use a makeshift office inside the jail premises, with facilities such as phones and computers, from January 12 to February 20.
He is yet to be charged over the dispute and denies any wrongdoing.
Last year, Mr Roy was allowed by the Supreme Court to talk to potential bidders for three hotels, including Grosvenor House in London and the New York Plaza, to raise Rs 10,000 crore for bail.
Mr Roy was given an office with 600 sq ft of space inside New Delhi's Tihar jail complex, so that he could hold video conferences, use computers and receive visitors to sell or mortgage the hotels.