More than a year after alleging that Adani Group was involved in insider trading and stock market violations, US-based short-selling company Hindenburg Research has hinted at a new target in India.
In a cryptic post on X, the US company said, "Something big soon India". This has many wondering which big corporate could be its next target.
In January 2023, Hindeburg's allegations about Adani Group orchestrating the "largest con in corporate history" led to a massive plunge in Gautam Adani-led conglomerate's market valuation. Hindenburg said it had "provided evidence of a vast network of offshore shell entities controlled by (group chairman) Gautam Adani's brother, Vinod Adani, and close associates."
Two months ago, market watchdog Sebi revealed that Hindenburg shared a copy of its report on Adani Group with New York hedge fund manager Mark Kingdon two months before it was published. SEBI, in the notice, said the disclaimers in the report were misleading because Hindenburg was "indirectly participating in the Indian securities market.”
The New York firm said in July that SEBI sent it an email on June 27 and later a show cause notice over suspected violations of Indian regulations by allegedly placing bets on the company's stocks.
Calling the show cause notice "nonsense", the short-seller said it was "an attempt to silence and intimidate those who expose corruption and fraud perpetrated by the most powerful individuals in India."
