Topic: Adani

Adani's market losses swelled above Rs eight lakh crore ($100 billion) on Thursday, sparking worries about a potential systemic impact a day after the Adani Group's flagship firm abandoned its $2.5 billion stock offering, reported Reuters.

The Opposition Thursday put up a united front seeking a probe by either a joint parliamentary committee (JPC) or headed by the Supreme Court or monitored by the Chief Justice of India, into the allegations of accounting fraud and stock manipulation against the Adani Group.

Gautam Adani has seen his fortune shrink by $51.7 billion in the past week as his group of companies have had to battle against allegations of stock manipulation and fraud raised by U.S.-based Hindenburg Research, reported Forbes.

Fraud cannot be obfuscated by nationalism or a bloated response that ignores every key allegation we raised, Hindenburg Research said on Monday soon after Gautam Adani group likened the damaging allegations by the US institute to a “calculated attack” on India.

Normally a political party should not be reacting to a research report on an individual company or business group prepared by a hedge fund. But the forensic analysis by Hindenburg Research of the Adani Group demands a response from the Congress party. This is because the Adani Group is no ordinary conglomerate: it is closely identified with Prime Minister Narendra Modi since the time he was Chief Minister.

The Adani group lost nearly Rs 2 lakh crore in market capitalisation in early trading hours on Friday, taking the overall decline in its market capitalisation to over Rs 2.75 lakh crore since Tuesday’s closing.