SC: Infraction Of Law By Hindenburg on Adani?

The SC has suspended its belief on taking into account suggestions from sections of the media that may or may not be accurate, and is questioning the legality of the Hindenburg exposé.

The Processor

04 Jan 2024 13:59 IST

New Update

Processor Intelligence Unit

The Supreme Court of India reiterated on January 3, that its clear stand is that there cannot be any demand for it to interject or interfere into the matter involving the clutch of petitions related to the stock market dealings of the Adani group of companies. Unless the scrips market controller in India, SEBI, either expresses its incompetence or is found to have lapsed in its competence.

The SC has suspended its belief on taking into account suggestions from sections of the media that may or may not be accurate.

It asked the SEBI to look into whether there is any infraction of law by the Hindenburg report on short selling and if so, take action in accordance with the law, according to the judgement.

The apex court said this during the hearing on the case related the group relating to the Gautam Adani group of companies, in a mid-air turbulence of the company’s flight of fortune sought to be punctured by a short-selling company in the US, the oversight group known a Hindenburg.

What is of a major lead-to is that the apex court has suspended its belief on taking into account suggestions from sections of the media that may or may not be accurate.

The court stated: “The reliance on newspaper articles or reports by third-party organizations to question a comprehensive investigation by a specialised regulator does not inspire confidence. Such reports by independent groups or investigative people by newspapers may act as inputs before the SEBI or the Expert Committee. However, they cannot be relied upon as conclusive proof of the inadequacy of the investigation by SEBI. Nor can the petitioners say that such inputs be regarded as credible evidence," LiveLaw quoted the Bench as stating.”

The apex court has been holding for several months that it shall not interfere with the authority of SEBI that it shall not, as requested by partisan interests, institute any court-appointed and court-monitored Special Investigative team under the court’s own jurisdiction,

BOX

— ON JAN 24, 2023, HINDENBURG RESEARCH’S DAMNING REPORT SAID ADANI GROUP INDULGED IN QUESTIONABLE PRACTICES

— STOCKS OF ALL ADANI GROUP COS WENT INTO A FREEFALL POST-REPORT

— ON JAN 26, ADANI GROUP SAID IT IS MULLING LEGAL ACTION AGAINST HINDENBURG

— ON JAN 31, IT WENT AHEAD WITH ADANI ENTERPRISES’ Rs 20K Cr FPO

— ON FEB 1, ADANI GROUP CANCELLED FPO CITING UNPRECEDENTED SITUATION & VOLATILITY

— ON FEB 8, TOTAL ENERGIES PUTS ON HOLD PLANNED INVESTMENT IN ADANI GROUP’S HYDROGEN PROJECT

— ON FEB 9, SC AGREES TO HEAR PLEA SEEKING DIRECTION TO GOVT TO FORM A PANEL TO LOOK INTO ALLEGATIONS

— ON FEB 10, SC ASKS SEBI & GOVT FOR RULES IN PLACE TO PROTECT INVESTORS WHO FACED LOSSES POST-REPORT

— ON FEB 13, GOVT & SEBI SAY THEY HAVE NO OBJECTION TO SC SETTING UP PANEL TO EXAMINE FRAMEWORKS IN PLACE

— ON FEB 22, GAUTAM ADANI SLIPS TO 27TH RANK IN BLOOMBERG BILLIOBAIRE INDEX

— ON FEB 24, SC REJECTS PLEA SEEKING TO INJUNCT MEDIA FROM REPORTING ON ADANI-HINDENBURG ROW

— ON MARCH 2, SC FORMS EXPERT PANEL TO PROBE ALLEGED REGULATORY FAILURE

— ON APRIL 29, SEBI TELLS SC IT NEEDS SIX MORE MONTHS TO PROBE ALLEGATIONS

— ON MAY 1, SC GIVES SEBI EXTENSION UNTIL AUGUST 14

— ON MAY 19, SC PANEL SAYS IT HAS NOT FOUND EVIDENCE OF ADANI GROUP VIOLATING MKT REGULATIONS

— ON AUGUST 14, SEBI SEEKS 15 MORE DAYS TO CONCLUDE PROBE

— ON AUGUST 25, SEBI SAYS OUT OF 24 INVESTIGATIONS, 22 ARE IN FINAL AND TWO IN INTERIM STAGE

— ON AUGUST 31, OCCRP ALLEGES MILLIONS OF DOLLARS WERE INVESTED VIA FUNDS MANAGED BY PARTNERS OF PROMOTER FAMILY

— ON NOV 24, SC RESERVES ORDER & INDICATES IT MAY PASS SOME MORE DIRECTIONS TO SEBI

— ON JAN 3, 2024, SC DELIVERS VERDICT, RULES OUT CBI OR SIT PROBE

— SC DIRECTS SEBI TO COMPLETE PROBE IN REMAINING TWO CASES WITHIN THREE MONTHS

— APEX COURT SAYS OCCRP REPORT CANNOT BE CONSIDERED TO QUESTION SEBI PROBE

— FOUR PETITIONS WERE FILED BY VISHAL TIWARI, ML SHARMA, JAYA THAKUR & ANAMIKA JAISWAL

— PETITIONERS LED BY PRASHANT BHUSHAN WANTED SIT TO PROBE IRREGULARITIES

— PRASHANT BHUSHAN HAD ARGUED THAT SEBI'S ROLE WAS QUESTIONABLE

— OCCRP REPORT BASED ON DOCUMENTS SOURCED FROM BHUSHAN’S NGO

— OCCRP REPORTEDLY HAS LINKS WITH INDIA-BAITER GEORGE SOROS

— SC ALSO UPHELD VALIDITY OF FPI & LODR REGULATIONS

— SC REJECTS ARGUMENTS RELATED TO CONFLICT OF INTEREST AMONG PANEL MEMBERS

— SC SAYS GOVT & SEBI SHALL TAKE INTO CONSIDERATION PANEL RECOMMENDATIONS TO SAFEGUARD INVESTORS

— SC SAYS NEWSPAPER REPORTS CANNOT BE REGARDED AS CREDIBLE EVIDENCE

— SC SAYS DRI ISSUE ALREADY SETTLED

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