NEW DELHI: Market regulator SEBI has filed a status report in the Supreme Court with regard to its probe into Adani-Hindenburg issue, stating that out of 24 investigations into Adani-Hindenburg issue, 22 are final in nature and two are interim at this stage, as responses from external agencies or entities were awaited.
As on date, the 22 final investigation reports and one interim investigation report are approved by the competent authority in accordance with extant practice and procedures, it said.
"In the remaining one matter, interim findings are approved by the competent authority. With respect to the interim investigation reports, the SEBI has sought information from external agencies/entities and upon receipt of such information will evaluate the same vis-a-vis the interim investigation report to determine further course of action, if any, in the said matters," the SEBI said.
The status report further said the interim probes have covered 13 overseas entities of Adani's companies, while details have been sought from five countries on the Foreign portfolio investors (FPIs).
For one of its interim reports, SEBI said that it covered 13 overseas entities that were classified as public shareholders of the Adani Group Companies. "As many of the entities linked to these foreign investors are located in tax haven jurisdictions, establishing the economic interest shareholders of the 12 FPIs remains a challenge," SEBI said.
The status report said that the probe covered issues of minimum public shareholding-violation of Rule 19A of Securities Contracts (Regulation) Rules, 1957, manipulation of stock prices in contravention of existing laws, Related Party Transactions (RPT)-Failure to disclose transactions with related parties and other relevant information. The other issues looked into are possible violation of SEBI (Foreign Portfolio Investors) Regulations, 2014 and 2019, possible violation of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.
SEBI also told the court that it would take appropriate action based on the outcome of the investigations in accordance with law.
The report further stated 13 investigations are related to Related Party Transactions (RPT)- failure to disclose transactions with related parties and other relevant information. Two investigations are related to manipulation of stock prices in contravention of existing laws.
It also said “Investigation covered 13 overseas entities (12 FPIs and 1 Foreign Entity), who were classified as public shareholders of the Adani Group Companies”.
The Supreme Court had earlier denied SEBI for further time in terms of the orders issued on March 2 and May 17, 2023 to conclude the investigation and submit the status report in the matter.