US Short-Seller Targets SEBI Chairperson in Adani Scandal

Hindenburg Research has accused SEBI Chairperson Madhabi Buch and her husband of being involved in offshore funds used in the Adani money siphoning scandal. The firm claims that SEBI has shown a lack of interest in probing these allegations, despite a Supreme Court mandate. SEBI has not commented on these claims.

US short-seller Hindenburg Research has issued fresh allegations against SEBI Chairperson Madhabi Buch, asserting she and her husband were involved in obscure offshore funds tied to the ongoing Adani money siphoning scandal.

In a blog post, Hindenburg criticized the lack of action from India's market regulator, SEBI, claiming it has ignored probing Adani's undisclosed network of offshore shell entities. Citing documents from a whistleblower, Hindenburg claimed Buch and her husband held stakes in these entities, allegedly used by Vinod Adani to round-trip funds and artificially inflate stock prices.

Hindenburg further revealed a declaration of funds indicating the couple's net worth at $10 million, but SEBI has yet to issue an official response. The claims come amid ongoing investigations ordered by the Supreme Court, which found no substantial regulatory lapses, but SEBI continues to investigate 13 opaque offshore entities with significant holdings in Adani Group's publicly traded stocks.

(With inputs from agencies.)