Will bring finality in time bound manner: Gautam Adani after SC order on Hindenburg case
1 min read . Updated: 02 Mar 2023, 03:14 PM IST
Premium- The Supreme Court set up an expert committee on the issue arising from the Hindenburg Research report on Adani Group companies. The committee will consist of six members, headed by former apex court judge Justice AM Sapre
Adani Group's founder chairman Gautam Adani on Thursday has said that the recent Supreme Court order will bring finality in a time-bound manner in the after Adani's sprawling conglomerate, which spans from sea ports to airports, edible oil and commodities, energy, cement and data centres, is under attack by US short-seller Hindenburg Research. Seven listed companies of Adani group have lost about $135 billion in value after the Hindenburg report was published.
In a tweet just after the apex court order said," The Adani Group welcomes the order of the Hon'ble Supreme Court. It will bring finality in a time bound manner. Truth will prevail."
The Supreme Court set up an expert committee on the issue arising from the Hindenburg Research report on Adani Group companies. The committee will consist of six members, headed by former apex court judge Justice AM Sapre.
In addition to this, SC has directed SEBI to investigate whether there has been a violation of Section 19 of SEBI rules, whether there was any manipulation of stock prices
The apex court was hearing petitions pertaining to the Hindenburg report, including on the constitution of a committee relating to regulatory mechanisms to protect the investors' interest
Hindenburg, which held short positions in unidentified shares of Adani Group firms through its US-traded debt and offshore derivatives, on January 24 accused the conglomerate of "brazen stock manipulation and accounting fraud" and using a number of offshore shell companies to inflate stock prices.
The group has denied allegations, calling them "malicious", "baseless" and a "calculated attack on India".
Hindenburg claims Adani Group uses a number of shell companies to inflate stock prices and flout shareholding rules, which require at least 25 per cent of listed companies to be held by the public. It also flagged debt-driven growth and the group being "deeply overleveraged". Over the past one month, share prices of companies in the Adani Group have dropped significantly. The January 24 Hindenburg report alleged stock manipulation and fraud by the conglomerate.
The Adani Group has attacked Hindenburg as "an unethical short seller" and stated that the report by the New York-based entity was "nothing but a lie".
