Its been three weeks now since the Adani group has been battling the impact of the scathing Hindenburg research report. Even as the group has been taking several measures to restore investor confidence, the stocks have been witnessing massive volatility.
As per a Reuters report, the Adani group has now hired accountancy firm Grant Thornton for conducting an independent audit for some of its companies, in a bid to discredit the claims of the Hindenburg report. The report made a slew of allegations including corporate governance malpractices and stock price manipulations. Allegations, which the Adani group has strongly denied.
Meanwhile, in another development, capital markets regulator SEBI has said that it is probing the allegation made by Hindenburg group. In a submission to the top court, SEBI said it was examining the allegations and their impact on the market. As per a Business standard report, SEBI’s submission note says that it was enquiring into market activities immediately “preceding and post the publication of the report”, to detect if there were any regulatory violations. A mint report says that the markets regulator will also brief the Finance Minister on surveillance measures taken during the recent rout in the Adani group companies. SEBI is scheduled to meet FM Sitharaman on the 15th of Feburary.
Earlier, on the Supreme Court’s suggestion, the central govt agreed to form an expert panel to ensure that market investors are protected. Since the 24th of January, the Adani group’s market capitalisation has eroded by over $100 billion.