MUMBAI: The Supreme Court will hear the pleas on the allegations of stock price manipulation by the Adani group and lapses in regulatory disclosure. Nearly two months ago the court asked the Securities and Exchange Board of India (Sebi) to probe the allegations made by the US-based short seller Hindenburg Research.
The apex court had asked the capital market regulator to conclude the investigation within two months. Sebi was supposed to file the report by May 2 but on April 29, the regulator filed its request with the apex court and requested six more months to complete its investigation. One of the PIL petitioners, advocate Vishal Tiwari, has opposed Sebi’s plea, saying the market regulator has already got sufficient time to inspect, examine, collect, and seize relevant documents.
As per the cause list uploaded on the Supreme Court website, a bench comprising Chief Justice D Y Chandrachud and Justices P S Narasimha and J B Pardiwala is scheduled to hear the pleas. Hindenburg Research, in a report released on January 24, accused the Adani Group of stock manipulation and financial irregularities, which dented investors’ confidence and wiped out more than $140 billion of the Indian conglomerate’s market value.
Meanwhile, in a piece of positive news for the Adani Group, Mauritian Financial Services Minister Mahen Kumar Seeruttun has told the nation’s Parliament that Hindenburg Research’s allegations of the presence of ‘shell’ companies in the Island nation are ‘false and baseless’ and that Mauritius was in compliance with OECD-mandated tax rules.
Hindenburg Research alleged that billionaire Gautam Adani used shell companies based in Mauritius to manipulate the stock prices of his Indian-listed companies.
Sebi asks for 6 months to complete probe
Nearly two months ago the SC asked Sebi to probe the allegations by Hindenburg Research. The apex court had asked the capital market regulator to conclude the investigation within two months. requested six more months to complete its probe