Mumbai: The Securities and Exchange Board of India (SEBI) Chairperson Madhabi Puri Buch and her husband Dhaval Buch have vigorously refuted Hindenburg Research’s allegation against them, calling it a “character assassination attempt.” This is because the company led by Nate Anderson received an Enforcement action and show cause notice last month.
Notably, the markets regulator declared last month that Hindenburg and Anderson had violated the ‘SEBI’s Code of Conduct for Research Analyst’ and ‘SEBI’s Prevention of Fraudulent and Unfair Trade Practices’ regulations.
According to the joint statement issued by the couple, “In the context of allegations made in the Hindenburg Report dated August 10, 2024, against us, we would like to state that we strongly deny the baseless allegations and insinuations made in the report.”
“The same are devoid of any truth. Our life and finances are an open book. All disclosures, as required, have already been furnished to SEBI over the years. We have no hesitation in disclosing any and all financial documents, including those that relate to the period when we were strictly private citizens, to any and every authority that may seek them,” read the joint statement.
“Further, in the interest of complete transparency, we would be issuing a detailed statement in due course,” they added.
The statement also said, “It is unfortunate that Hindenburg Research against whom SEBI has taken an Enforcement action and issued a show cause notice has chosen to attempt character assassination in response to the same.”
The market regulator has also accused Hindenburg of making “unfair” profits through collusion and using non-public and misleading information to induce panic selling.
Short-sellers like Hindenburg Research could find themselves in hot water, as even the US market regulator, the Securities and Exchanges Commission (SEC), has been tightening its grip.
In late July, the US capital markets regulator announced action against short-selling firm Citron Capital and its head, Andrew Left, for alleged ill-gotten gains.
–IANS
