India’s Supreme Court has ordered the Securities and Exchange Board of India (Sebi) to conclude its investigation into the Adani Group within three months, stating no further probes are needed. The three-judge bench, led by Chief Justice D. Y. Chandrachud, asked the federal government to implement recommendations from an expert panel to strengthen the regulatory framework.
Shares of Adani Group companies have pared some initial gains following the verdict, with Adani Enterprises’ shares up 3.6% in Mumbai trading. The ruling comes as a reprieve after nearly a year of intense scrutiny for Gautam Adani, despite his ports-to-power conglomerate repeatedly denying Hindenburg Research’s allegations of corporate malfeasance, stock price manipulations, and related party transactions.
The Indian conglomerate Adani has been ordered by the Indian top court to investigate allegations of stock-price manipulation by its CEO, Sebi Hindenburg. The allegations were triggered by a short-seller’s broadside in January, which led to a significant drop in Adani stocks and wiped out over $150 billion in equity market value. The court also set up a six-member expert panel to assess regulatory lapses.
The panel concluded that no regulatory failures or evidence of stock-price manipulation could be concluded. The Adani Group is now regaining investor and lender confidence, having secured investments from GQG Partners and Middle-Eastern sovereign wealth funds, and pledged $100 billion in green transition.
