Adani-Hindenburg row: SEBI's inability to reach final conclusion 'deeply worrying', says Congress
New Delhi, Aug 26: The Congress on Saturday said stock market regulator SEBI's inability to reach a conclusive finding on the allegations of round-tripping and money laundering by the Adani Group was "deeply worrying".
Congress general secretary Jairam Ramesh said the Securities and Exchange Board of India (SEBI) has admitted this in its status report to the Supreme Court and added only a Joint Parliamentary Committee (JPC) can examine how the government flouted norms and procedures to help Prime Minister Narendra Modi's "favourite business group".
"The inability of the Securities and Exchange Board of India (SEBI) to reach a conclusive finding on allegations of round-tripping and money laundering by the Adani Group, as it has admitted in its 25th August 2023 status report to the Supreme Court, is deeply troubling," Ramesh said in a statement.
Sharing the statement on 'X', he posted, "SEBI's inability to reach a final conclusion in the matter of round-tripping and money-laundering allegations against the Adani Group is deeply worrying."
The Congress leader said that of the 24 matters SEBI investigated relating to the matter, two still have interim status.
Ramesh said one of the interim reports relates to the important question of whether Adani violated the Minimum Public Shareholding requirement under Rule 19A of the Securities Contracts (Regulation) Rules.
"In simple terms, did Adani use opaque entities based in overseas tax havens to engage in the kind of round-tripping and money laundering that the PM has always claimed to oppose? SEBI has stated that the reason for delay is that information from external agencies and entities is still awaited," he added.
The country, Ramesh said, is clearly paying a heavy price for the SEBI's decision in 2018 to dilute and in 2019 to delete the reporting requirements relating to the ultimate beneficial ownership of foreign funds.
The Congress leader noted no less than the Supreme Court's Expert Committee pointed out that the reason the SEBI has failed to identify beneficial ownership of overseas investors in Adani companies was that "the securities market regulator suspects wrongdoing" but is "drawing a blank worldwide" due to its "piquant" decision to remove these stipulations.
"The reintroduction of strict reporting rules following the SEBI board's 28 June 2023 meeting represents a public admission of guilt by the regulatory body, even though the horse has bolted the stable," Ramesh claimed.
"Final reports on these critical questions are awaited. Will the SEBI do its fiduciary duty and identify the source of the Rs 20,000 crore of benami overseas funds that have flowed into the Adani Group?" he asked.
The Congress leader said only a JPC can examine how the Modi government "flouted rules, norms and procedures to help the PM's favourite business group..."
The SEBI on Friday informed the apex court that it has completed the probe in all but two allegations against the Adani Group and is still awaiting information from five tax havens on actual owners behind foreign investors investing in the conglomerate.
The US short-seller Hindenburg Research, in a report released on January 24, alleged accounting fraud, stock price manipulation and improper use of tax havens by the Adani Group, triggering a stock market rout.
The Adani Group has denied all allegations by Hindenburg.
अडानी ग्रुप पर लगे राउंड-ट्रिपिंग और मनी-लॉन्ड्रिंग के आरोपों के मामले में किसी अंतिम निष्कर्ष पर पहुंचने में SEBI की अक्षमता बेहद चिंताजनक है।
— Jairam Ramesh (@Jairam_Ramesh) August 26, 2023
25 अगस्त 2023 को सुप्रीम कोर्ट में दाख़िल SEBI की स्टेटस रिपोर्ट पर हमारा बयान।
SEBI's inability to reach a final conclusion in the… pic.twitter.com/0FQS0mhPnR
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
Two arrested in K'taka for assaulting minors, uploading CSAM content
Bengaluru (PTI): Two men were arrested for allegedly sexually assaulting two minor girls, recording the acts on mobile phones and uploading the videos online as child sexual abuse material, police said on Thursday.
The accused have been identified as Kiran Kumar (29), hailing from Chitradurga district, and Aditya M K (20), hailing from Shivamogga district, they said.
A probe was initiated after information was received from the NCRP portal regarding a suspected instance of creation of Child Sexual Abuse Material (CSAM) for online dissemination, police said.
Accordingly, a case was registered at Kaggalipura Police Station under relevant sections of the IT Act on May 10, they added.
Investigation revealed that two minor girl victims were exploited and videos were created and uploaded to the internet. The child victims have subsequently recorded their statements as per procedure and further necessary legal steps have been taken, Pronab Mohanty Director General of Police, Cyber Command, said in a statement.
Based on the statements of the victims, the accused persons, who allegedly assaulted the minors, recorded the acts on mobile phones and uploaded the videos online, were arrested, he said.
Following the probe, sections 65(2) (rape) and 70 (gangrape) of the Bharatiya Nyaya Sanhita, along with relevant sections of the POCSO Act, have been added to the FIR, police said.
Officials collected relevant information and on May 12, arrested the accused persons and seized three mobile phones belonging to them, in which the videos had allegedly been recorded, he said.
The accused were later produced before the court and taken into police custody for further investigation, he added.
According to him, in CSAM cases, police usually apprehend offenders who have downloaded such content or have kept them in their possession after obtaining them from elsewhere, usually the internet.
"The present case is one of the very few instances where content creators and uploaders have been apprehended," Mohanty added.
