New Delhi: In a high-stakes clash, the Adani Group has vehemently refuted the “recycled allegations” laid out in a report by the George Soros-funded Organised Crime and Corruption Reporting Project (OCCRP). The conglomerate is at the center of a storm following allegations of hidden foreign investors, insider trading, and market manipulation.
Rejection of allegations
The Adani Group swiftly rejected these claims, terming them as a concerted effort by Soros-funded interests supported by a fraction of foreign media outlets. The conglomerate has declared these allegations as an attempt to revive the previously debunked Hindenburg report.
Intricate details of the OCCRP report
The OCCRP report suggests the involvement of two foreign investors in insider trading. These allegations hinge on cases dating back a decade, during which the Directorate of Revenue Intelligence (DRI) probed matters of over-invoicing, fund transfers abroad, related party transactions, and investments via FPIs.
Firm’s assertion on legal clearance
The conglomerate asserted that independent adjudicating authorities and appellate tribunals have already affirmed the legality of the transactions. The Supreme Court of India also validated the matter in March 2023, ruling in favor of the Adani Group. With no over-valuation proven, the Adani Group discredited the foundation of these allegations regarding fund transfers.
Investigative process and stock manipulation
The Adani Group highlighted that the FPIs under scrutiny are already part of the SEBI investigation. Expert Committees appointed by the Supreme Court have found no evidence of violations in Minimum Public Shareholding requirements or stock price manipulation.
Challenges faced and regulatory oversight
While the conglomerate expressed disappointment that its responses were not entirely represented in certain media outlets, it stressed the ongoing regulatory process’s significance. With the Supreme Court and Securities and Exchange Board of India (SEBI) overseeing the situation, the company emphasized its confidence in due legal procedures and corporate governance standards.
The timing of these news reports, according to the Adani Group, appears suspicious and ill-intentioned. The conglomerate categorically rejects these allegations, labeling them as mischievous and malicious. Furthermore, it accuses certain entities of driving down stock prices and engaging in short selling under investigation by regulatory bodies.
Exploring money laundering and market manipulation
The Enforcement Directorate’s findings, indicating 18 companies as beneficiaries of short selling in Adani Group shares post the Hindenburg report, have raised eyebrows. These findings have been communicated to SEBI, with possible money laundering investigations and other inquiries looming on the horizon.
As the Adani Group combats these explosive allegations, a complex web of legal processes, regulatory oversight, and market dynamics unfolds. The conglomerate’s fierce resistance underscores the complexities of modern corporate battles and the influence of media on financial landscapes.
