On Tuesday, Congress president Mallikarjun Kharge accused Prime Minister Narendra Modi of trying to undermine the institutional integrity of India’s Securities and Exchange Board to protect his crony friends. ’ In a post on his official X account, Kharge raised concerns over SEBI’s functioning as a market regulator. “The institutional credibility of SEBI as a sophisticated market regulator has been eroded by PM @narendramodi to shield his buddy companies!” he said.
Kharge’s statement comes after continued controversy about SEBI Chairperson Madhabi Puri Buch after allegations made by a stock manipulation activist, US-based Hindenburg Research. The allegations which has alleged that Buch and her husband Dhaval Buch had stakes in offshore entities involved in the ‘Adani money siphoning scandal’ have caused a political furore. The report by Hindenburg was that the Buchs have stakes in 150 Companies in Bermuda and Mauritius through complicated structures, which raised a conflict of interest in the SEBI investigation of the Adani group.
Kharge also asked the government two point-blank questions about Buch’s appointment and SEBI’s operations’ openness. “Was it intended for them to select her to help their buddy business partners?” Or did they not even know about the behind-the-scenes financial corruption? ” he asked. Further, he expressed skepticism over some of the decisions made by SEBI that touched regulated firms, as he alleged that the chairperson of SEBI has been receiving consultancy fees through some improper sources.
From where he left earlier, Kharge targeted the Modi government and even claimed that under this government, the ‘hard-earned money’ of millions of Indians invested in stock markets is at risk. This MEGA SCANDAL has been done by Modi ji and the hard-earned money of 10 crore stock market investors is at stake. ” he added.
As per the note released in 2023, Hindenburg accused the Adani Group of manipulating stocks which is again evidence of making money out of thin air. The US-based research firm claimed that Dhaval Buch had written to a Mauritius fund administrator sometime in the weeks prior to Madhabi Puri Buch becoming a member.
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