Adani-Hindenburg Case: SEBI Disagrees With SC's Expert Panel As per the report, SEBI in its latest affidavit to the Supreme Court said it did not agree with the expert committee observation of difficulties in identifying holders of economic interest behind an offshore fund
By Teena Jose
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Capital markets regulator SEBI on Monday told the Supreme Court that its 2019 rule changes do not make it tougher to identify beneficiaries of offshore funds, and action will be taken if any violation is found or established, according to a PTI report.
The Supreme Court-appointed expert committee had in an interim report in May stated that it saw "no evident pattern of manipulation" in billionaire Gautam Adani's companies and there was no regulatory failure.
Reportedly, cited several amendments the Securities and Exchange Board of India (Sebi) made between 2014-2019 that constrained regulators' ability to investigate, and its probe into alleged violation in money flows from offshore entities has "drawn a blank".
As per the report, without making any mention of the status report of its own investigation into allegations against Adani Group, SEBI in its latest affidavit to the Supreme Court said it did not agree with the expert committee observation of difficulties in identifying holders of economic interest behind an offshore fund.
It also differed with the panel observation that stocks will re-price if the markets feel actions taken in the past by the company were not desirable, saying even if the market may re-price the stocks of the company based on the past transactions, "there is no bar on SEBI to examine any securities laws violations because re-pricing of the stock has happened," it added.
Sebi indicated it does not agree with the expert committee's views and action will be taken if any violation is found/established.
