Hindenburg Research Exposes SEBI Chairperson’s Alleged Ties to Adani Group’s Offshore Financial Network

In August 2024, Hindenburg Research, an American investment research firm known for its sharp critiques and investigations into corporate malpractices, released a new report focusing on Madhabi Puri Buch, the Chairperson of India’s Securities and Exchange Board (SEBI). This report follows Hindenburg’s explosive findings from 18 months ago, where the firm accused the Adani Group, a massive Indian conglomerate, of engaging in one of the largest corporate frauds in history. The new report connects Madhabi Puri Buch and her husband, Dhaval Buch, to the same offshore funds allegedly used by the Adani Group to launder money and manipulate the stock market.

Background: The Adani Group Controversy

The Adani Group, led by billionaire Gautam Adani, has been under intense scrutiny since Hindenburg’s original report in early 2023. The report accused the conglomerate of operating a vast network of offshore shell entities, primarily based in Mauritius, to facilitate billions of dollars in undisclosed related-party transactions, stock manipulation, and other questionable financial activities. These allegations painted the Adani Group as a major player in corporate malfeasance, with a significant portion of the funds being moved through secretive offshore channels.

Despite the gravity of these accusations and over 40 independent media investigations that corroborated Hindenburg’s findings, SEBI has taken minimal public action against the Adani Group. Instead of pursuing the alleged wrongdoing with the rigor expected of a regulatory body, SEBI has been criticized for its apparent reluctance to address the core issues raised by Hindenburg. This inaction has raised suspicions about potential conflicts of interest within SEBI, particularly concerning its leadership.

Key Allegations Against SEBI Chairperson Madhabi Puri Buch

Hindenburg’s latest report presents a series of serious allegations against Madhabi Puri Buch, suggesting that her personal and financial connections to the Adani Group might explain SEBI’s lack of decisive action. The key allegations can be broken down into several critical points:

1.?Involvement in Offshore Funds Linked to Adani

According to whistleblower documents cited by Hindenburg, Madhabi Buch and her husband, Dhaval Buch, had significant investments in offshore funds that were part of the same complex financial structures allegedly used by Vinod Adani, Gautam Adani’s brother, to siphon and launder money. These funds, such as the IPE Plus Fund registered in Mauritius, were intricately linked to the Adani Group’s operations.

The whistleblower documents reveal that the Buchs opened their account with the IPE Plus Fund on June 5, 2015, in Singapore. At the time, Madhabi Buch was not yet part of SEBI, but her connection to these funds became problematic when she was appointed a Whole Time Member of SEBI in April 2017. Just weeks before her appointment, Dhaval Buch requested that the assets be moved solely under his name, possibly to avoid potential conflicts of interest as his wife assumed a regulatory role. Read full report at - https://digpu.com/india-news/hindenburg-research-exposes-sebi-chairpersons-alleged-ties-to-adani-groups-offshore-financial-network