Adani-Hindenburg case: Review petition filed against Supreme Court's clean chit
A review petition has challenged the Supreme Court's decision to support the Securities and Exchange Board of India (SEBI) investigation into the Adani-Hindenburg case. According to The Economic Times, the petitioner argued that the ruling contained "apparent errors" and overlooked SEBI's regulatory shortcomings. On January 3, 2024, the Supreme Court found no merit in transferring the case to a special investigation team, backing SEBI's investigation into the matter and giving a clean chit to Adani Group.
What does the petitioner have to say?
Anamika Jaiswal, the petitioner, has said that there are "sufficient reasons which require a review of the impugned order passed by the Supreme Court on January 3." Jaiswal argued that the apex court has merely updated the status of the investigations against Adani and hasn't disclosed the findings. "Unless the findings of the SEBI investigations are publicly reported it cannot be concluded that there has been no regulatory failure," the petitioner said.
SEBI found no evidence of stock manipulation by Adani Group
In March 2023, the Supreme Court instructed SEBI to examine violations by Adani Group after Hindenburg accused them of "brazen stock manipulation" and "accounting fraud scheme." SEBI's report concluded that there was no evidence of stock manipulation and no regulatory failures were identified. The market regulator has probed 22 out of 24 cases tied to Hindenburg Research's claims. In its January order, the Supreme Court also dismissed George Soros-led OCCRP's report, saying it cannot be used to challenge SEBI's investigation.
Adani's recovery from Hindenburg's onslaught
Last week, Gautam Adani rejoined the exclusive club of multi-billionaires whose fortunes exceed $100 billion. It took almost a year for Adani's wealth to recover to pre-Hindenburg crisis levels. The accusations by the American short-seller had caused a significant plummeting in Adani's wealth as he personally lost more than $80 billion while his company lost $150 billion. It remains to be seen how the review petition shall impact Adani's businesses.
