Adani: SEBI can afford to get tough against powerful business families on money laundering allegations
Developing countries struggle with money leaving via mispriced trade invoices. In India, these alleged illicit flows come back to threaten the integrity of the stock market.
(Bloomberg Opinion) -- Accusations of stock-market manipulation by the Adani Group, strenuously denied by the conglomerate, have shone the spotlight on a festering global problem loosely estimated to amount to between 2% to 5% of the world’s output: Money-laundering. Obscure funds based in Cyprus and Mauritius, one of whom is linked to an intermediary that’s also alleged to have played a role in the $4.5 billion 1MDB looting from taxpayers in Malaysia, may be funneling someone else’s money into Adani stocks, the short seller Hindenburg Research has alleged.