Adani-Hindenburg case: SC to hear SEBI's 6-month extension plea to complete probe on May 12
1 min read 09 May 2023, 11:04 PM ISTSebi had asked the apex court for an extension to finish its investigation into allegations levelled by US-based short seller Hindenburg against the conglomerate, noting that Adani Group's complex transactions involving listed, unlisted and offshore entities require deeper investigations.
PremiumThe Supreme Court will hear the plea by capital markets regulator Securities and Exchange Board of India (Sebi) seeking a six-month extension to complete the probe on Adani Group on May 12, according to CNBC-TV18.
Sebi had asked the apex court for the extension to finish its investigation into allegations levelled by US-based short seller Hindenburg against the conglomerate, noting that Adani Group's complex transactions involving listed, unlisted and offshore entities require deeper investigations. After Sebi's plea to the court, the Gautam Adani-led conglomerate responded saying it is fully cooperating with the probe.
"We understand that Sebi has approached the Hon'ble Supreme Court for more time to conclude its investigation," the statement said.
"We have welcomed the investigation, which represents a fair opportunity for everyone to be heard and for all issues to be addressed. We are fully compliant with all laws, rules and regulations and are confident that truth will prevail,'' it added.
Also Read: SC constitutes panel, asks Sebi to conclude its investigation within 2 months
‘’It is pertinent to note that in the Sebi application filed before the Hon'ble Supreme Court, there are no conclusions of any alleged wrong-doing. The Sebi application only cites the allegations made in the short-sellers report, which are still under investigation, said the Adani Group.
On March 2, the Supreme Court had set up an expert committee on the issue arising from the Hindenburg Research report on Adani Group companies. The top court directed Sebi to investigate whether there had been a violation of Section 19 of Sebi rules and whether there was any manipulation of stock prices.
Earlier this year, Hindenburg levelled allegations on the Adani Group with financial wrongdoings in its investigation on February 25. Following that, the market capitalization of the Adani Group plummeted as a result by more than USD 140 billion.
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