Gautam Adani, the second-richest Indian, said the allegations, made by Hindenburg Research in 2023, were baseless and praised SEBI’s order [File: businesstoday.in]
By: The Trek News Desk
The Securities and Exchange Board of India (SEBI) has dismissed allegations of stock manipulation against the Adani Group. This investigation began in 2023 after Hindenburg Research accused Adani Group companies of utilizing tax havens and concealing transactions between related parties.
According to SEBI, no rule violations were found during the investigation.
Welcoming SEBI’s order, Gautam Adani, Chairman of the Adani Group, stated, “SEBI has said what we’ve always said — Hindenburg’s allegations were baseless. Transparency and honesty have always been core principles of the Adani Group. We empathize with the investors who lost their money due to this fraud and motivated report.”
Adani also demanded an apology from those who published false reports, which caused damage to investors.
However, Adani Group has not only found relief from Indian regulators but is still facing other charges. In November 2024, Gautam Adani, his nephew Sagar Adani, and associate Vaneet Jain were accused of paying over $250 million in bribes to Indian officials to secure solar energy contracts. These payments were made between 2020 and 2024, with an expected profit of $2 billion. Adani has denied these charges as well.
Amid these controversies, the Adani Group’s total market capitalization has seen a significant decline, dropping by $85 billion from its peak following the release of the Hindenburg report. It now stands at $150 billion. Gautam Adani, who is now the second-richest person in India and the 29th richest person in the world, is said to have a net worth of around $64 billion.
While these allegations and controversies have clearly impacted the Adani Group’s business empire, the recent SEBI order rejecting the charges has so far helped them avoid any legal actions.
Sources: News Agencies
