Former Securities and Exchange Board of India (SEBI) chairman Upendra Kumar Sinha has said that he is not inclined to believe that Hindenburg report on Adani is an attack on India.
“This is not the first time Hindenburg has written a report about a particular company of a particular country,” he told journalist Barkha Dutt.
Sinha reminded that the U.S firm was substantially right in allegations against many companies including the Nikola Corporation and the China Metal Resources Utilization.
Sinha also said that any SEBI inquiry will investigate both Adani Group and Hindeburg Research.
Meanwhile, the total market cap of Adani Group slipped 47.44% to reach ₹10,07,999 crore on February 3 from ₹19,18,056 crore on January 24, the day the Hindenburg report was released.
On 24 January 2023, Hindenburg Research disclosed a short position against Adani Group’s listed companies and published a report that accuses the Indian conglomerate of engaging in “brazen stock manipulation and accounting fraud scheme over the course of decades.”
The Adani Group issues a 413-page rebuttal against Hindenburg Research’s report and calls the short seller’s actions “a calculated attack on India, the independence, integrity and quality of Indian institutions, and the growth story and ambition of India.”
In its retort, Hindenburg accuses the Adani Group of draping itself in the Indian flag “while systematically looting the nation.”
Adani loses the title of Asia’s richest person to compatriot Mukesh Ambani, and slides down to No. 17 on the list of the world’s richest people with an estimated net worth of $61 billion.