Securities and Exchange Board of India (SEBI) chairperson Madhabi Puri Buch and her husband Dhaval Buch have denied allegations against them by short-seller Hindenburg Research in its latest report, PTI reported.
Hindenburg Research, a US-based investment research firm, has alleged that Madhabi Puri Buch and Dhaval Buch owned stakes in offshore entities linked to the Adani Group’s alleged financial misconduct.
Citing “whistleblower documents”, the report claims that these entities were part of a network used by Vinod Adani, Gautam’s elder brother, to “siphon money”. It further argued that SEBI’s impartiality in conducting a probe against Adani Group is ‘questionable’ due to the potential conflicts of interest.
In response, Buchs said in a statement that the allegations are untrue and that their life and finances are an open book.
Also Read | Hindenburg’s allegations against SEBI chief Madhabi Buch | 10 key points
“In the context of allegations made in the Hindenburg Report dated August 10, 2024 against us, we would like to state that we strongly deny the baseless allegations and insinuations made in the report,” they said, according to PTI.
“The same are devoid of any truth. Our life and finances are an open book. All disclosures as required have already been furnished to SEBI over the years,” the statement added.
They further said they have no hesitation in disclosing any and all financial documents, including those that relate to the period when they were “strictly private citizens”, to any and every authority that may seek them.
“Further, in the interest of complete transparency, we would be issuing a detailed statement in due course,” they added, according to PTI.
Also Read | Hindenburg report: Congress urges Centre to remove ‘all conflict of interest’ in Adani probe
In January 2023, Hindenburg Research had accused Gautam Adani, then the third wealthiest person in the world, of carrying out the ‘biggest con in corporate history,’ a charge denied by him. Later that year, the Supreme Court of India directed SEBI to investigate the allegations against Adani.
What Hindenburg Research said in its latest report
Citing whistleblower documents, Hindenburg Research said that Madhabi Buch and her husband had undisclosed investments in obscure offshore funds in Bermuda and Mauritius, the same entities allegedly used by Vinod Adani, brother of Gautam Adani, to manipulate the financial markets.
These investments reportedly date back to 2015, well before Madhabi Buch’s appointment as a full-time member of SEBI in 2017 and her elevation to SEBI chairperson in March 2022.
Also Read | Who is Dhaval Buch, SEBI chairperson’s husband named in Hindenburg report?
The report alleges that just weeks before Buch’s appointment to SEBI, her husband requested the transfer of their investments into his sole control, potentially to avoid any scrutiny related to her new regulatory role.
“In the letter, Dhaval Buch requested to “be the sole person authorised to operate the Accounts”, seemingly moving the assets out of his wife’s name ahead of the politically sensitive appointment,” it alleged.
The couple’s investments were reportedly funnelled through a complex, multi-layered offshore structure, raising questions about their legitimacy and purpose.
