A petitioner in the Adani-Hindenburg case in the Supreme Court has filed an affidavit accusing the Securities and Exchange Board of India (SEBI) of “concealing” an alert it received from the Directorate of Revenue Intelligence (DRI) about stock market manipulation by the Adani group in 2014.
Anamika Jaiswal, represented by advocates Prashant Bhushan and Cheryl D’Souza, alleged that SEBI had “concealed a January 2014 DRI alert about Adani having siphoned off money and invested them in Adani listed companies through entities based in Dubai and Mauritius”.
Ms. Jaiswal’s affidavit claimed the DRI sent a letter to then SEBI chairperson, UK Sinha, on January 31, 2014, alerting that “there may be stock market manipulation being committed by the Adani group of companies using the money siphoned off through overvaluation in the import of power equipment”. It said the DRI was at the time investigating a case of overvaluation of import of equipment and machinery by various entities of Adani group from a UAE-based subsidiary.
“The letter was accompanied by a CD containing evidence of siphoning of ₹ 2,323 crores and two notes on the case being investigated by the DRI. The letter further stated that more documents may be obtained from the Mumbai zonal unit of the DRI,” the affidavit stated.
The affidavit said Mr. Sinha, “instead of acting on the DRI letter, preferred to close the ongoing investigations into the Adani group”, and that the suppression of facts and providing false information amounted to perjury.
The affidavit went on to say that SEBI categorically told the Supreme Court-appointed Justice AM Sapre committee that investigation into Adani started only on October 23, 2020 after receiving complaints in June-July 2020.
UK Sinha currently serves as ‘non-executive independent director-chairperson’ of NDTV, which was acquired by the Adani group in 2022.
