SEBI Issues Notice to 6 Companies of Adani Group for Alleged Violation of Transaction and Listing Regulations
The market regulator SEBI has issued notices to 6 group companies of the flagship company Adani Enterprises, citing alleged violations of transaction and listing regulations against them.
Adani Group Companies Disclose Information in Exchange Filings
Adani Ports and Special Economic Zone (SEZ), Adani Energy, Adani Power, Adani Wilmar, and Adani Total Gas have provided this information in their respective exchange filings.
Adani Enterprises Receives Notices During Quarterly Earnings
Adani Enterprises had disclosed that it received two show-cause notices during the quarter ending on March 31. These notices were issued by the Securities and Exchange Board of India (SEBI) following an investigation into allegations made by Hindenburg Research.
SEBI Conducts Investigation
SEBI has been investigating the matter since January 24, 2023, when it constituted a committee to probe into the allegations against Adani Group regarding manipulation of share prices.
What Happened During SEBI’s Probe?
On March 2, the Supreme Court formed a committee in the case and granted SEBI a two-month period for investigation. SEBI was supposed to submit its report by May 2, but during the hearing, SEBI requested a six-month extension for the investigation.
SEBI Seeks Extension
The bench extended it until August, granting SEBI a total of 5 months to conduct its investigation and submit the report. On August 14, SEBI requested an additional 15 days from the Supreme Court to complete its investigation and submit the report.
Status Report Submitted to Supreme Court
On August 25, SEBI submitted a status report to the Supreme Court, informing that out of 22 investigations, 20 have been completed, and 2 are pending.
Supreme Court Upholds Decision
On November 24, 2023, the Supreme Court upheld its decision, stating that Hindenburg’s allegations are not substantiated.
SEBI Granted More Time for Investigations
On January 3, the Supreme Court granted SEBI an additional 3 months to investigate the remaining 2 cases. SEBI has completed investigations in 22 out of 24 cases since then.
