The Congress on Thursday reiterated its demand for resignation of Securities and Exchange Board of India (SEBI) Chairperson Madhabi Puri Buch, days after the party accused her of conflict of interest.
The Congress has been demanding resignation of Buch following the Hindenburg Research report against her last month. The US-based shortseller alleged that Buch and her husband Dhaval Buch had stakes in obscure offshore entities used in the Adani money siphoning scandal.
Addressing a press conference at the party headquarters, Chairman of Professionals’ Congress and Data Analytics Praveen Chakravarty said, “On 10th August, an American research firm made serious charges against the Chairperson of SEBI Madhabi Puri Buch alleging that SEBI’s unwillingness to take meaningful action against suspect shareholders in the Adani Group stemmed from Buch’s complicity in using the exact same funds used by Vinod Adani, brother of Gautam Adani.”
Attacking the BJP-led government at the Centre, he said, “The Congress along with several other voices including journalists and other professionals, demanded that the SEBI Chairperson step aside while urging an immediate impartial inquiry into the matter. (Union) Cabinet, instead of this, cabinet ministers and BJP MPs came to Buch’s rescue when the allegations were against an individual and her family.”
Accusing Buch of conflict of interest, Chakravarty said,“On 2nd September, 2024, the Congress revealed with documentary evidence that Buch was eligible to receive income from ICICI stock, which was regulated by SEBI, a clear conflict of interest. Again, ICICI Bank, which is indirectly implicated, responded to this charge while Buch, the primary accused, remained silent.”
“Why did ICICI respond on behalf of Buch, when in a similar case with Chanda Kochar, it did not defend her and instead set up an independent inquiry?” he questioned.
The Chairman of Professionals’ Congress and Data Analytics further said, “Today, we learnt through a news article that Buch, during her tenure at ICICI Bank between 2011 and 2013, was also employed at Greater Pacific Capital, a private equity fund where Shaurya Doval (son of NSA Ajit Doval), is a member of the leadership team. Given the long list of previous charges, this news today raises even further concern over Buch’s ability to function objectively and independently.”
“There are several investors, domestic and foreign, who have expressed concern to us over the series of charges against the market regulator. There is an erosion of trust and credibility of India’s stock markets. The Congress party wants a strong and robust stock market with many foreign and domestic investors’ participation,” he said.
Asserting that it is not in the nation’s interest to have clouds of doubt, fear and uncertainty over the market regulator, Chakravarty said, “Only an objective, independent inquiry with the SEBI Chairperson Ms Buch stepping aside was needed, until then can restore trust and confidence in India’s stock markets and hence the economy.”