Congress Targets SEBI Chief with New Allegations

The Congress has intensified its scrutiny of SEBI Chairperson Madhabi Puri Buch. The party claims she rented one of her properties to a company linked to a prominent Indiabulls figure. Congress also accuses Buch of holding shares in unlisted companies found in the Paradise Papers leak. Property Rentals and Indiabulls Connections Congress spokesperson Pawan Khera […]

Pawan Khera CelebratePawan Khera Celebrates Congress Win in Jharkhands Congress Win in Jharkhand
by Nisha Srivastava - October 30, 2024, 7:00 am

The Congress has intensified its scrutiny of SEBI Chairperson Madhabi Puri Buch. The party claims she rented one of her properties to a company linked to a prominent Indiabulls figure. Congress also accuses Buch of holding shares in unlisted companies found in the Paradise Papers leak.

Property Rentals and Indiabulls Connections

Congress spokesperson Pawan Khera alleged that Buch earned rental income in 2021-22 by leasing a Mumbai property to Green World Buildcon and Infra Private Limited. He identified the company’s owners, Mukul and Vipul Bansal, and stated that Mukul Bansal has strong ties to the Indiabulls Group.

Offshore Investment Claims Linked to Vinod Adani

Congress’s allegations follow a Hindenburg Research report accusing Buch and her husband, Dhaval Buch, of holding stakes in offshore entities tied to Vinod Adani. The couple denied these accusations, saying, “Our life and finances are an open book. All disclosures as required have already been furnished to SEBI over the years.” They assured full cooperation and pledged to release a comprehensive statement soon.

Equity in Predible Health and Paradise Papers Link

Khera claimed Buch was an early shareholder in Predible Health, which received government funding. He said Buch held equity in the company while serving on SEBI. Other investors included Jacesa Investments Limited, named in the Paradise Papers and based in a Caribbean tax haven. Khera stated that Buch sold her shares in 2021, earning a high return.

Alleged Payments from ICICI Bank

Khera also revisited claims that Buch continued to receive salary payments from ICICI while working at SEBI. Buch and ICICI, however, clarified these payments were deferred.

SEBI’s Handling of Adani Group Investigation

Congress has criticized SEBI’s investigation into Adani Group, which arose after Hindenburg’s claims that the group used shell companies to bypass regulations. Hindenburg alleged Buch and her husband invested in an offshore fund linked to Vinod Adani. SEBI responded, stating it had fully investigated, and the Supreme Court acknowledged the completed probe.

Buch and her husband dismissed these allegations as “baseless.” They stated, “Our life and finances are an open book. All disclosures as required have already been furnished to SEBI over the years.”

Accusations Against SEBI Member Ananth Narayan

Khera also questioned SEBI member Ananth Narayan’s actions. He claimed Narayan rented his Mumbai property to a stockbroker while leading SEBI’s department overseeing stockbroker regulations. Khera added that Narayan holds 1 lakh shares in Proud Securities and Credits Pvt Ltd (now Incred Capital), valued at about ₹70 crore. He questioned if SEBI knew of Narayan’s stake during his appointment.

In response, Narayan said, “…I have ensured that all such assets and investments are fully and proactively disclosed to SEBI, and any potential conflicts are preemptively managed through disclosure and recusal.”