Hindenburg allegations against SEBI chief casts an ‘atmosphere of doubt’, direct completion of probe against Adani group, plea asks Supreme Court

Supreme Court application seeks conclusion of SEBI investigation into Adani Group amid Hindenburg Research allegations.

An application filed in the Supreme Court on Tuesday (August 13, 2024) said the new Hindenburg Research’s allegations against Securities Exchange Board of India (SEBI) chairperson Madhabi Buch creates an “atmosphere of doubt”, making it incumbent for the court to conclude its investigation against the Adani Group and declare its findings.

The plea filed by petitioner-in-person, advocate Vishal Tiwari, reminded that the Supreme Court, in its judgment on January 3, had given SEBI three months “preferably” to complete 24 investigations into Hindenburg’s earlier report accusing the Adani Group of share price manipulations and violations of securities law.

In that time, the SEBI had completed 22 of the 24 investigations. It was waiting for inputs from external agencies regarding the remaining two probes.

The application said it would be prudent, in the wake of current developments, to fix a specified time period for the completion of the pending investigations.

“It is important in public interest and for the interest of the Investors who lost their funds after the publication of the Hindenburg report in 2023 against Adani group. The right to know about the investigations led by SEBI and its conclusions are essential for the benefit of investors,” the application argued.

Mr. Tiwari referred to Hindenburg’s allegations that Ms. Buch and her husband have stakes in offshore funds linked to the Adani Group’s alleged money siphoning scandal.

The report had cited “whistleblower documents”.