New Delhi: Madhavi Buch, the head of India’s capital market regulator, the Securities and Exchange Board of India (SEBI), along with her husband Dhawal Buch, has vehemently denied the allegations leveled against them by short-seller Hindenburg Research. The controversy concerns their alleged involvement in obscure offshore funds linked to the Adani Group’s money laundering scandal.
The Allegations
Hindenburg Research, known for its damning report on Adani group stocks earlier this year, recently claimed that Madhavi Buch and her husband held stakes in shadowy offshore funds used in the Adani money laundering scheme. The short-seller cited “whistleblower documents” allegedly exposing their connections to these funds. Furthermore, the report pointed out that SEBI Chairperson Madhabi Puri Buch also had ties to the Adani Group, raising questions about potential conflicts of interest.
Buch’s Strong Denial
The Buch couple issued a statement refuting all claims in response to the allegations. “We strongly deny the baseless allegations and insinuations,” they declared. “Our life and financial transactions are an open book. SEBI has received all necessary financial records from us over the years.” They emphasized their willingness to produce any relevant documents, even from their time as private citizens. Additionally, they promised a comprehensive statement to ensure complete transparency.
SEBI’s Silence and the Adani Connection
Interestingly, Hindenburg Research also questioned SEBI’s lack of action against suspect offshore shareholders within the Adani Group. The short-seller suggested that Madhavi Buch’s association with the same complex nested structure used by Vinod Adani (brother of Gautam Adani) might explain the regulator’s reluctance. The situation remains tense as SEBI faces scrutiny over its impartiality.
