India regulator asks court to allow arrest of Sahara boss

NEW DELHI (REUTERS) - India's securities regulator is seeking Supreme Court permission for the arrest of the head of the Sahara conglomerate, which it accuses of failing to comply with an order to repay billions of dollars collected from investors in outlawed bonds, according to a court document and a lawyer present at a Friday court hearing.

The court is likely to hear the matter next month, the lawyer told Reuters, declining to be identified because he was not authorised to speak with the media.

The application, a copy of which was seen by Reuters, asks that the court pass an order allowing SEBI "to take measures for arrest and detention in civil prison of .... Subrata Roy Sahara ... after giving reasonable opportunity of hearing".

The application by the Securities and Exchange Board of India (SEBI) also asks the court to allow the arrest of two Sahara directors.