'Congress, its allies have conspired...': BJP hits back at Congress amid Hindenburg-SEBI row

After the Congress party launched a fierce attack on the ruling Bharatiya Janata Party (BJP) following the latest Hindenburg research claims that Securities and Exchange Board of India (SEBI) Madhabi Puri Buch 'had a stake in ‘offshore entities used in Adani money siphoning scandal', the latter came down heavily upon the grand old party alleging that the party and its allies have 'conspired together to usher in economic anarchy and instability in India'.

The remarks follow attacks by several opposition leaders including those by Congress MP and Leader of Opposition (LoP) Rahul Gandhi on the ruling BJP, after the release of the Hindenburg research report.

In a press conference held here in the national capital, BJP MP Ravi Shankar Prasad said, "After being rebuffed by the people of India, the Congress party, its allies and the toolkit gang have conspired together to usher in economic anarchy and instability in India. Hindenburg report is released on Saturday, there is uproar on Sunday so the capital market is destabilized on Monday. India is a safe, stable and promising market in the shares as well. It is SEBI's legal responsibility to ensure that the market runs smoothly."

Terming the attacks 'baseless', he added, "When SEBI issued a notice against Hindenburg, after completing its entire inquiry in July, which was done under the supervision of the Supreme Court, then without giving any answer in favour of its defence, they have made this attack, a baseless attack".

Prasad further claimed that the opposition is trying to 'tarnish' Prime Minister Narendra Modi's image.

"We thought that the opposition would maintain peace but they are not. They are continuously trying to destroy PM Modi's image. The Congress party and their ally party are doing this. Now on Hidenburg's report, they are spreading false in the society", he stated.

The latest Hindenburg report, which claimed that "SEBI’s Chairperson Madhabi Puri Buch and her husband, Dhaval Buch, had stake in obscure offshore entities used in Adani money siphoning scandal", has sparked a row in the country following which there has emerged a political word war between the ruling party and the opposition. 

Earlier on Saturday, LoP Rahul Gandhi said that the integrity of SEBI has been "gravely compromised" by the allegations against its chairperson.

The Congress leader took a jibe at Prime Modi, saying, "It is now abundantly clear why Prime Minister Modi is so afraid of a JPC probe and what it might reveal."

In a post on X, Gandhi said, "The integrity of SEBI, the securities regulator entrusted with safeguarding the wealth of small retail investors, has been gravely compromised by the allegations against its Chairperson." "Honest investors across the country have pressing questions for the government: Why hasn't SEBI Chairperson Madhabi Puri Buch resigned yet? If investors lose their hard-earned money, who will be held accountable -- ?PM Modi, the SEBI Chairperson, or Gautam Adani?" 

The integrity of SEBI, the securities regulator entrusted with safeguarding the wealth of small retail investors, has been gravely compromised by the allegations against its Chairperson.

Honest investors across the country have pressing questions for the government:

- Why… pic.twitter.com/vZlEl8Qb4b

— Rahul Gandhi (@RahulGandhi) August 11, 2024

The remarks follow the opposition's old claims that the current Modi government extends 'unfair benefits to the Adani group' due to the 'Prime Minister's cordial relations with Gautam Adani, chairperson of Adani group'. 

Meanwhile, the Adani group denied Hindenburg's claims and termed it 'malicious, mischievous and manipulative'.

The Adani group, in an official statement, said, "The Adani Group has absolutely no commercial relationship with the individuals or matters mentioned in this calculated deliberate effort to malign our standing. We remain steadfastly committed to transparency and compliance with all legal and regulatory requirements".

In a similar move, Madhabi Puri Buch and her husband Dhaval Buch also released a joint statement claiming that the investment in the fund referred to in the Hindenburg report was made in 2015 when they were both private citizens living in Singapore, two years before the fomer joined SEBI.

“The investment in the fund referred to in the Hindenburg report was made in 2015 when they were both private citizens living in Singapore and almost 2 years before Madhabi joined Sebi, even as a Whole Time Member”, it said.

The joint statement further read, "SEBI has strong institutional mechanisms of disclosure and recusal norms as per the code of conduct applicable to its officers. Accordingly, all disclosures and recusals have been diligently followed, including disclosures of all securities held or subsequently transferred."

Back in January 2023, Hindenburg Research released a report titled, "Adani Group: How The World's 3rd Richest Man Is Pulling the Largest Con in Corporate History" which led to a massive political controversey in the country.

The Adani group had later denied the allegations claiming that the report was issued with the intention to 'bring down their share prices'.

In February 2023, a Public Interest Litigation (PIL) was filed in the Supreme Court demanding a probe into the Hindenburg claims, following which, the top court directed SEBI to complete the probe of the allegations made in the report within two months.