Introduction

Recent Order: The Supreme Court’s recent order on the Adani-Hindenburg matter focused on the inquiries conducted by the Securities and Exchange Board of India (SEBI).
No Regulatory Failure Found: The apex court concluded that there was no regulatory failure on SEBI’s part, negating the need for a Special Investigating Team (SIT).

SEBI’s Investigations and the Supreme Court’s Stance

Status of Investigations: Out of 24 investigations related to the Adani-Hindenburg matter, SEBI has completed 22.
Supreme Court’s Trust in SEBI: The court accepted SEBI’s status report without delving into the details of the investigations, trusting SEBI to bring them to a logical conclusion.

Lack of Transparency: The findings of the completed SEBI investigations have not been made public, raising questions about the transparency and accountability of the process.
‘Chicken-and-Egg’ Inquiry: The Supreme Court did not address the “chicken-and-egg situation” where SEBI’s inability to identify the ultimate beneficial owners of certain overseas entities has stalled the investigation.
Overlooked Statutory Violations: The judgment did not consider the alleged dilution of regulations that could facilitate the concealment of beneficial ownership, which might be violative of the SEBI Act.

Continued SEBI Investigation: SEBI has been given an additional three months to conclude its inquiry into the alleged violation of minimum shareholding norms by the Adani group companies.
Potential Subversion of Ongoing Investigations: The deficiencies in the Supreme Court judgment could potentially undermine the ongoing investigations into the Adani group.
Hindenburg and OCCRP Reports: The judgment has seemingly dismissed the reports by Hindenburg and OCCRP as unrelated or inconclusive, despite their revelations about the Adani group’s financial dealings.

Past Allegations: The Adani group has faced similar allegations of share price manipulation and round-tripping in the past, with SEBI itself filing a criminal complaint 15 years ago.
Current Investigations: Despite ongoing investigations for over three years, no criminal complaint has been registered against the Adani promoters for the recent allegations.

Need for Reevaluation: The deficiencies in the Supreme Court judgment warrant a reconsideration in the interest of justice and transparency.
Public Interest and Justice: Ensuring that the findings of SEBI’s investigations are made public and acted upon is crucial for upholding regulatory integrity and public trust.
Future of Adani Investigations: The outcome of the ongoing SEBI investigations and the handling of the Hindenburg and OCCRP reports will be pivotal in determining the course of justice in this high-profile case.