In a new status report submitted to the Supreme Court, market regulator Securities and Exchange Board of India (SEBI) informs the court that out of 24 investigations resulting from the Hindenburg report against Adani Group, 22 are final and 2 are interim.
According to SEBI, it will act appropriately in compliance with the law in many respects depending on the findings of the investigations.
In two investigations, SEBI stated it was seeking information from other agencies. According to SEBI, it looked into 13 Adani Group transactions for potential related-party transaction rules violations.
The regulator added that information on 12 foreign portfolio investors (FPIs) who were public shareholders in Adani Group companies was the subject of its probe into some offshore dealings and that it had requested information on FPIs from five different nations.
“Establishing the economic interest shareholders of the 12 FPIs remains a challenge”, because some firms connected to these investors are situated in tax haven jurisdictions, the regulator stated, adding that it has enquired about this matter from five foreign nations.
After US-based Hindenburg Research exposed various governance issues earlier this year, the market value of the conglomerate’s listed companies fell by more than $100 billion. The organisation has denied wrongdoing.
Following this, the Supreme Court ordered SEBI to investigate the claims and report its findings to a six-member panel made up of a retired judge and experienced bankers that was established in March.
The panel, which was formed by the court, stated in May that the agency’s investigations had so far come up empty and that its continued pursuit of the issue is “a journey without a destination,” but it offered the regulator extra time to complete its inquiry.