Sebi chief Madhabi Puri Buch cleared in probe: Government sources

An investigation into allegations against Securities and Exchange Board of India (Sebi) Chairperson Madhabi Puri Buch found nothing incriminating, government sources told India Today, adding that she would complete her tenure that ends in February 2025.
The probe was necessitated after serious allegations of conflict of interest and financial misconduct were levelled against the Sebi chief by US short-seller Hindenburg Research and the Congress party, sources said.
Buch faced scrutiny over allegations of conflict of interest and financial misconduct.
The controversy began when Hindenburg Research questioned Sebi Chairperson Madhabi Puri Buch’s silence on allegations of conflict of interest and financial misconduct. Hindenburg suggested that Buch may have undisclosed financial ties to the Adani Group, which has also been under investigation.
In response to the allegations, Madhabi Puri Buch and her husband, Dhaval Buch, stated that the claims in the Hindenburg report were “groundless” and “without merit.”
They highlighted that their financial records were transparent and characterized the allegations as an effort at “character assassination.”
The Buchs later issued a detailed joint statement, countering the claims made by Hindenburg Research. They clarified that their investment in the fund, which Hindenburg claimed is linked to alleged “Adani stock manipulation,” was made two years before Madhabi joined SEBI.
Following Hindenburg’s attack, the Congress party accused Buch of having ties to companies regulated by Sebi through her consulting firm, Agora Advisory Pvt Ltd. Allegations emerged that she received large payments from these firms, raising concerns about her impartiality.
Following these claims, the Congress party accused Buch of having ties to companies regulated by Sebi through her consulting firm, Agora Advisory Pvt Ltd. Allegations emerged that she received large payments from these firms, raising concerns about her impartiality.
In response to the growing scrutiny, the Parliamentary Public Accounts Committee (PAC) initiated an investigation into Buch’s conduct. This enquiry aimed to address public concerns regarding Sebi’s integrity and Buch’s ability to serve as a regulator.