Categories: BusinessCurrent Affairs

SEBI said to probe Adani- Gulf Ties

SEBI said to probe Adani- Gulf Ties

The Securities and Exchange Board of India (SEBI) has launched an investigation into the relationship between the Adani Group, a prominent Indian conglomerate, and the Gulf Asia Trade & Investment fund based in the British Virgin Islands.

The probe aims to determine whether there have been violations of share ownership regulations, following allegations of accountancy fraud and stock manipulation made against the Adani Group.

Background

  • In January, a damning report by short-seller Hindenburg Research accused the Adani Group of governance risks, asserting that offshore shell firms clandestinely owned stakes in Adani’s publicly-listed companies.
  • This accusation led to SEBI’s scrutiny of the conglomerate’s affairs.

Details of the Investigation

Ownership and Connections

  • The Gulf Asia fund, reportedly owned by Dubai-based businessman Nasser Ali Shaban Ali, allegedly invested in Adani’s listed companies after SEBI’s directive in June 2013, which required companies to increase public shareholding to at least 2 percent of their total floats.

Financial Transactions

  • Gulf Asia’s investments in Adani Enterprises and Adani Power totaled $51.4 million by April 2014.
  • Over time, this investment reportedly surged to $202 million in four Adani entities, including Adani Transmission and Adani Ports.
  • Notably, Adani Enterprises did not disclose Gulf Asia as a related party in its annual reports, raising concerns about transparency.

Acting “In Concert”

  • SEBI officials are closely examining whether the Adani Group and the Gulf Asia fund acted “in concert,” potentially violating regulations.
  • This scrutiny aims to ascertain the nature of their relationship and the implications for shareholders.

Adani Group’s Response

  • The Adani Group vehemently denied all allegations of opaque funding and accountancy fraud.
  • In a statement issued earlier, the company dismissed the accusations as a calculated attack on India by vested interests and sections of the foreign media.

Find More Business News Here

 

 

Piyush Shukla

Share
Published by
Piyush Shukla
3 years ago

Recent Posts

Kargil Vijay Diwas 2026: Honouring India’s Bravehearts and the Legacy of Operation Vijay

Kargil Vijay Diwas is celebrated on July 26, every year in India in remembrance of…

19 hours ago

Pralhad Joshi Takes Charge as Education Minister After Dharmendra Pradhan Resigns

Pralhad Joshi, a cabinet minister in the Union Government, has been given the additional responsibility…

19 hours ago

Current Affairs Capsule PDF (25 July, 2026)

National News India Launches Electric Boat Pilot on Ganga River India launched the Electric Boat…

20 hours ago

BRICS Summit 2026: India Invites Bangladesh as Special Guest While Hosting Key Ministerial Meetings

In an important move, Honorable Prime Minister Narendra Modi has extended an invitation to Bangladesh…

23 hours ago

HCLTech to Set Up First AI Data Centre in Odisha with ₹15,000 Crore Sovereign AI Investment

The state of Odisha, HCL Technologies (HCLTech) unveiled its intention to set up an AI-optimised…

23 hours ago

IRS Officer Satya Pal Kumar Appointed FIU Director in Major Bureaucratic Reshuffle

The Union Government has appointed Satya Pal Kumar, a 2005 batch IRS officer belonging to…

24 hours ago