SEBI Chairperson Madhabi Puri Buch was accused of having stake in an offshore company linked to Adani Group.
SEBI Chairperson Madhabi Puri Buch did not attend the Public Accounts Committee (PAC) meeting on Thursday (October 24) due to “some urgent reasons”. This was the second time Butch was asked to appear before the committee.
This meeting, chaired by Congress leader KC Venugopal, was scheduled to review the operations of the market regulator (SEBI). The meeting was postponed after Butch and other SEBI officials were unavailable.
The PAC had summoned Buch today amid conflict of interest allegations leveled by US-based short-seller Hindenburg. He was also accused of taking salary from three places including ICICI Bank while being associated with SEBI.
SEBI Chief could not come to Delhi due to personal emergency
Congress leader KC Venugopal said- “At 9.30 in the morning, we received information from the SEBI chief and other members that he was not in a position to travel to Delhi due to personal emergency. In such a situation, we decided to postpone today's meeting.
Two allegations against SEBI Chief
1. SEBI Chief in offshore company linked to Adani Group equity
American company Hindenburg Research released a report on Saturday (August 19). Based on whistleblower documents, Hindenburg had claimed that Butch and her husband had stakes in the Mauritius offshore company 'Global Dynamic Opportunity Fund'.
Hindenburg has alleged that Vinod Adani, brother of Adani Group Chairman Gautam Adani, has allegedly invested billions of dollars in the 'Global Dynamic Opportunities Fund'. This money was used to boost the share prices of Adani Group.
Madhabi Butch had denied the allegations
Madhvi Buch had described the allegations against her in the Hindenburg report as baseless and an attempt at character assassination. SEBI Chairperson expressed willingness to declare all financial records. In a joint statement with her husband Dhaval Butch, she said, 'Our life and finances are an open book.
2. Allegation of taking salary from 3 places including ICICI Bank while being associated with SEBI
Two months ago, Congress spokesperson Pawan Kheda, in a press conference, had accused Madhavi of taking salary from three places including ICICI Bank while she was associated with SEBI. Kheda said, 'Madhabi Puri Buch was a whole-time member of SEBI from April 5, 2017 to October 4, 2021. Then on March 2, 2022, Madhabi Puri Buch became the chairperson of SEBI.
Khera had claimed that Madhabi Puri Buch, being a whole-time member of SEBI, was taking regular income from ICICI Bank, which was Rs 16.80 crore.
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