Madhabi Puri Buch, the Chairperson of the Securities and Exchange Board of India (SEBI), has firmly rejected allegations made by the US-based short-seller Hindenburg Research. These claims involve supposed stakes held by Buch and her husband in offshore entities related to the Adani Group, stirring concerns about possible conflicts of interest.
In a statement released today, Buch and her husband, Dhaval Buch, addressed the allegations directly. They described the accusations as “baseless” and “devoid of any truth.” The couple asserted that they have consistently adhered to all disclosure requirements mandated by law. “Our life and finances are an open book,” they declared, highlighting their compliance with SEBI’s disclosure norms over the years.
The Buchs also expressed their frustration with the timing of these allegations. They pointed out that Hindenburg Research, which SEBI has already taken action against, has now resorted to what they termed “character assassination.” This move, according to the Buchs, comes in the wake of SEBI’s enforcement actions and a show cause notice issued to Hindenburg Research.
The timing of these allegations is significant as they coincide with ongoing scrutiny of the Adani Group. This scrutiny follows a controversial report published by Hindenburg Research in January 2023. The report accused the Adani Group of serious financial irregularities, which led to a steep decline in the company’s stock price. The Adani Group has consistently denied these accusations.
In a related development, the Supreme Court of India had earlier addressed petitions filed by activists regarding SEBI’s handling of the Hindenburg allegations. The court ruled that SEBI had not failed in its regulatory duties, allowing the investigation into the Hindenburg report’s claims to proceed.
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