Last Updated: November 28, 2023, 13:35 IST
Adani group stocks surged during morning deals following the Indian Supreme Court’s observation that it had no reason to “discredit” market regulator Securities and Exchange Board of India’s (Sebi) probe against the group. The apex court reserved its order on a batch of petitions concerning the Adani-Hindenburg row after the conclusion of the hearing on Friday.
The top gainer in the pack was Adani Total Gas which was up nearly 20 per cent in the early trade and was followed by Adani Energy Solutions which had shot up 13 per cent. Nifty stocks Adani Enterprises and Adani Ports and Special Economic Zones were also up 4 per cent and 3 per cent, respectively around this time.
The verdict in the Adani-Hindenburg case have been reserved by a bench led by Chief Justice of India DY Chandrachud. The apex court observed that capital market regulator SEBI must complete probe in all 24 case.
The market regulator on August 25, had submitted a crucial status report on its investigations into the allegations of stock price manipulation by the Adani Group to the Supreme Court. The report said that SEBI has completed its investigation in 22 out of the 24 cases.
What the Supreme Court Bench said –
- SEBI must complete the probe in all 24 cases.
- We don’t have to treat the Hindenburg report as being a statement of truth. There is no means of testing the varacity of the Hindenburg report and hence asked SEBI to probe.
- There has to be some responsibility in making allegations. This was in regards to petitioners telling the court that Somsekhar Sundaresan, recently elevated as additional judge of the Bombay High Court, was counsel for the Adani Group. The court further said that by this logic, no lawyer can become a judge
- We didn’t appoint judges but industry veterans to bring expertise in addressing the issue.
- Can SEBI be asked to disclose findings even before it can initiate proceedings under the law? How can we pre-judge SEBI findings?
- Can’t ask SEBI to take a story in the newspaper, even if in Financial Times, as the gospel truth.