The Supreme Court has given SEBI till August 14 to investigate the Adani-Hindenburg case

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New Delhi: The Supreme Court has given SEBI till August 14 to investigate the Adani-Hindenburg case. A bench headed by Chief Justice DY Chandrachud said that after perusing the report, it may order completion of the inquiry by September 30.

The court said that the report of the expert committee will be given to all the parties to improve the functioning of the stock market. On the recommendation of the expert committee, the hearing will be held on July 11 after the summer vacation.

During the hearing, the petitioner’s lawyer Prashant Bhushan said that we have filed a reply to SEBI’s application. In 2021, SEBI was investigating Adani. This was said in response to a question asked in Parliament. He said that SEBI should tell the court what it did between 2016 and 2021. Sebi has not taken action against Adani for seven years. SEBI should tell the court what happened to all these investigations.

Prashant Bhushan said that Adani’s stock had increased manifold in a year which was a warning bell. But SEBI did nothing. Solicitor General Tushar Mehta, on behalf of SEBI, said that 2016 to 2021 has nothing to do with the matter. Petitioners are linking it to the Hindenburg.

Sebi filed a reply in the Supreme Court on May 15, saying that the allegations that Sebi has been investigating the Adani Group since 2016 are baseless. The inquiry the petitioners are referring to was in fact about Global Deposit Receipts (GDRs) issued to 51 Indian companies. Not a single Adani Group company is involved in this.

Sebi says the 12 suspicious transactions mentioned in the Hindenburg report are very complex and relate to many countries across the world. It will take a long time to verify the data related to those transactions. In such a situation, the purpose of seeking 6 months time for investigation is to give justice to the investors and the security market.

During the hearing, on May 12, the Supreme Court said that SEBI cannot be given indefinite time to complete the probe in the Adani-Hindenburg case. A bench headed by Chief Justice DY Chandrachud said it could not grant SEBI another six months. SEBI has filed a plea seeking an extension of six months. Sebi has said that many critical aspects have to be examined. In America, such investigations last from 9 months to 5 years.