Securities and Exchange Board of India (Sebi) has urged investors to remain calm and exercise due diligence before making decsions based on Hindenburg Research's damning report against the market watchdog chief, her spouse and Adani Group.
This comes as the US short seller hit back again over Sebi Chairperson Madhabi Puri Buch and her husband Dhaval Buch's joint statement. Hindenburg Research said the couple's denial contains significant "admissions" and confirms a "massive conflict of interest".
Hindenburg said Buch's statement now confirms her investment in an obscure offshore fund, along with the money allegedly siphoned by Vinod Adani. It pointed out a conflict of interest as the Sebi chief also admitted that the fund was operated by her husband's childhood friend who was an Adani Group director.
However, Sebi claimed that Buch has recused herself in matters involving potential conflicts of interest.
Meanwhile, the opposition has slammed the Centre over allegations against the Sebi chief with the Leader of Opposition in the Lok Sabha, Rahul Gandhi, claimed it now abundantyl clear why Prime Minister Narendra Modi is so afraid of a Joint Parliamentary Committe (JPC) investigation. He urged the Supreme Court to take suo motu cognisance of the alleged "scam" as Sebi itself is involved in it.
The Congress also demanded the resignation of Buch amid such serious allegations about "quid pro quo". "The small and medium investors belonging to the Middle Class who invest their hard-earned money in the stock market need to be protected, as they believe in the SEBI. A Joint Parliamentary Committee inquiry is imperative to investigate this massive scandal," said Congress President Mallikarjun Kharge.
