The Securities and Exchange Board of India (SEBI) on Monday submitted an application in the Supreme Court seeking 15-day extension to conclude its investigation into the allegations raised by US-based short-seller firm Hindenburg Research against Adani conglomerate.
The current deadline set by the Apex Court is expiring today, i.e., August 14.
In its application, SEBI has informed the court that it has made substantial progress in its investigation. The market regulator has reported that it has prepared an interim report based on available materials for one of the matters. SEBI has also sought information from foreign jurisdictions, agencies, and regulators, and upon receiving this information, it intends to evaluate it to determine any further course of action required. Among the remaining six matters, four have yielded findings that await approval from competent authorities. In two other matters, one is in an advanced stage of investigation, while an interim report is being prepared for the other.
Earlier, the court had granted an extension until August 14, 2023, for SEBI to complete its investigation into allegations of stock price manipulations against Adani group companies. This extension was granted in response to an application filed by SEBI, seeking an additional six months to conclude the probe. The initial two-month timeframe provided by the court’s March 2 order had ended on May 2.
SEBI had previously filed a rejoinder affidavit in the Top Court, providing additional reasons for its request to extend the investigation into the Adani-Hindenburg matter. The regulatory body asserted that the transactions involved were intricate and required more time for thorough examination. SEBI also refuted the petitioner’s claim that it had been investigating Adani since 2016.
The investigation, as clarified by SEBI, pertained to the issuance of Global Depository Receipts by 51 Indian listed companies, none of which belonged to the Adani Group. SEBI informed the court that it had engaged with eleven overseas regulators under the Multilateral Memorandum of Understanding (MMOU) in partnership with the International Organisation of Securities Commissions (IOSCO) as part of its investigation into Minimum Public Shareholding (MPS) norms.
