The Sebi chief, Madhabi Puri Buch, addressed claims made by US short-seller Hindenburg, clarifying that the investment in the fund mentioned in the report was made in 2015 when she and her husband, Dhaval Buch, were private citizens residing in Singapore. This was nearly two years before she joined SEBI as a full-time member.
Hindenburg’s report alleged that Adani Group stocks dropped by up to 7% following revelations that Madhabi Puri Buch and her husband held interests in offshore funds based in Bermuda and Mauritius. According to the report, these funds were allegedly used by Gautam Adani’s brother, Vinod Adani, to acquire and trade significant shares in the Adani Group.
In her response, Buch explained that the decision to invest in the fund was influenced by the Chief Investment Officer, Anil Ahuja, a childhood friend of her husband from school and IIT Delhi. Ahuja’s strong investment background, including his experience at Citibank, JP Morgan, and 3i Group plc, further motivated their investment decision.
Buch also addressed concerns regarding two consulting companies associated with her husband, stating that these companies going dormant was fully disclosed to SEBI. After her husband left Hindustan Unilever in 2019, he began his own practice through these companies. She emphasized that when the shareholding of the Singaporean entity was transferred to Dhaval, it was disclosed to SEBI, as well as to the authorities in Singapore and India.
In response to Buch’s clarification, Hindenburg stated that her admission “publicly confirms” her investment in the Bermuda/Mauritius fund structure, which allegedly involved funds siphoned by Vinod Adani. Hindenburg highlighted that Buch acknowledged the fund was managed by her husband’s childhood friend, who was also an Adani director at the time.