Allegations:On August 10, 2024, Hindenburg Research released a new report accusing SEBI Chairperson Madhabi Puri Buch and her husband of owning stakes in offshore entities linked to the Adani Group. These stakes were allegedly held in funds located in Mauritius and Bermuda, which are involved in the suspected money siphoning scandal.

The report suggests that the Buchs had financial interests in entities tied to the Adani Group, further complicating the ongoing investigation into Adani’s financial dealings

Context:This is not the first time Hindenburg Research has targeted the Adani Group. Earlier in January 2023, Hindenburg released a report alleging stock manipulation and accounting fraud within the Adani Group. That report led to a massive sell-off in Adani stocks, wiping out billions in market value.

Denials:Both Madhabi Puri Buch and her husband have strongly denied these allegations, describing them as “baseless” and “insinuations”. They have categorically stated that they do not have any connections to the offshore entities mentioned in the report

•quickly, rejecting the report and calling it “malicious” and “manipulative”. They have accused Hindenburg of trying to damage their reputation through unfounded

The new allegations against the SEBI chairperson add another layer of complexity, as SEBI is the regulatory body responsible for overseeing the stock market, including the investigation into Adani [❞].

Financial Impact:Following the original Hindenburg report in 2023, Adani Group stocks saw a sharp decline, losing nearly $150 billion in market value. Although the group has since recovered some of its losses, the new allegations could lead to renewed volatility in its stock prices.The continued scrutiny from Hindenburg and potential regulatory impacts could affect investor confidence, leading to further market reaction