Rama Krishna Sangem
The Supreme Court granted on May 17, Wednesday three months‘ extension till August 14 to the Securities and Exchange Board of India (SEBI) to complete its probe into allegations made by US short seller Hindenburg Research against the Adani Group. This is against the regulator’s request for six months time.
The apex court had asked for a report by May 2 and the market regulator later sought a six-month extension.
A bench comprising Chief Justice of India D Y Chandrachud, Justice P S Narasimha and Justice JB Pardiwala said it cannot grant “indefinite extension”. “We granted two months and now extended it till August which makes it five months. If you have any genuine issue, tell us then,” Chandrachud told Solicitor General Tushar Mehta.
Expert committee submitted its report
The bench asked an expert committee to continue assisting the court and directed that it share a status report with parties in the case and their counsels. The bench directed SEBI to submit a status report regarding the probe it has carried out so far.
The court noted that the expert committee has submitted its report within the two months timeline. The proceedings shall be listed after recess on July 11, it said.
SEBI told the Supreme Court on Monday that allegations that it has been investigating the Adani Group since 2016 are “factually baseless”. During arguments on Wednesday, Mehta said that the 2016 issue is something “totally different, distinct and separate”.
SEBI on Monday had cautioned that “any incorrect or premature conclusion of the case arrived at without full facts material on record would not serve the ends of justice and hence would be legally untenable.”
SEBI is a government appointed to regulate the stock exchanges and securities in India. It came into being through an act in 1988 and started working since 1992. With around 800 staff and technical and financial experts, SEBI has branches all over the country. Now it is to take the help of foreign agencies to probe Hindenburg charges against Adani.