Market regulator SEBI has asked the Supreme Court to request an extension of six months to complete its investigation into allegations of stock price manipulation by the Adani group and any errors in disclosing regulations. determined.
The Supreme Court on 2 March ordered SEBI to investigate the matter within two months and also set up a panel to review the protection of Indian investors following the damaging report of a person. Short selling in the US wiped out more than $140 billion of the group’s market value.
In a court filing, SEBI filed that in order to identify possible violations related to “financial misrepresentation, circumvention and/or fraudulent nature of transactions,” it would take another six months to complete the assignment.
“Approve an order extending the termination of the investigation as directed by this Court by general order of March 2 for a period of six months or such other period as this court may deem appropriate and necessary. necessary given the facts and circumstances of the present case,” the plea said.
The Supreme Court while directing the creation of a six-member committee headed by former high court judge, Justice AM Sapre, to evaluate the existing legal framework and make recommendations to strengthen process, indicating that it is appropriate to set up such a committee. experts to protect Indian investors against volatility of the kind that has been witnessed in the recent past.
The court-appointed Sapre Judicial Council will be supported by the Center and other statutory bodies, including the SEBI chair.
On February 10, the highest court declared that the interests of Indian investors should be protected against market volatility amid the fall in the price of Adani Group shares and ordered China to The center considers setting up a panel of experts in the field headed by a former judge to review. in strengthening regulatory mechanisms.
The Center agreed to the high court’s proposal to create a commission, headed by a former Supreme Court justice, to go into governance regimes. So far, four PILs have been filed in the highest court on the matter by lawyers ML Sharma and Vishal Tiwari, Congress leader Jaya Thakur and Mukesh Kumar, who claims to be an activist. .
Adani Group shares were beaten on exchanges after Hindenburg Research brought a series of allegations, including fraudulent transactions and stock price manipulation, against the business group. Adani Group has denied the allegations as lies, saying it complies with all laws and disclosure requirements.
