Adani Group welcomes SC order, says it will bring finality to Hindenburg issue

MUMBAI: After the Supreme Court set up an expert committee and directed markets regulator SEBI to investigate whether there was any manipulation of stock prices, the Adani Group on Thursday welcomed the order of the apex court, saying that the “truth will prevail”.

The Group’s chairman Gautam Adani tweeted on Thursday, “The Adani Group welcomes the order of the Hon’ble Supreme Court. It will bring finality in a time bound manner. Truth will prevail”.

On Thursday, the Supreme Court set up an expert committee on the issue arising from the Hindenburg Research report on Adani Group companies. The committee will consist of six members, headed by former apex court judge Justice A M Sapre. The other members include O P Bhat, Justice J P Devdhar, K V Kamath, Nandan Nilekani and Somasekhar Sundaresan.

In addition, the SC has directed SEBI to investigate whether there has been a violation of Section 19 of SEBI rules, and whether there was any manipulation of stock prices. The apex court was hearing petitions pertaining to the Hindenburg report, including on the constitution of a committee relating to regulatory mechanisms to protect investors’ interests.

On February 17, while reserving its order, the top court refused to accept the sealed cover suggestion by the Centre on the appointment of the committee related to regulatory mechanisms to protect the investors in the backdrop of the Adani-Hindenburg case and said that it wants to maintain full transparency.

Over the past one month, share prices of companies in the Adani Group have dropped significantly. The January 24 Hindenburg report alleged stock manipulation and fraud by the conglomerate. The Adani Group has attacked Hindenburg as “an unethical short seller” and stated that the report by the New York-based entity was “nothing but a lie”. (ANI)