SEBI notice to Adani firm over alleged wrongful categorisation of shareholding
New Delhi, Oct 22: Adani Energy Solutions Ltd (AESL), the power transmission arm of the Adani group, on Tuesday said it has received a notice from SEBI alleging wrongful categorisation of certain investors as public shareholders.
Without giving details, the firm in notes to its second-quarter earnings statement said it will respond to regulatory and statutory authorities by providing relevant information/clarifications.
The group's renewable energy firm, Adani Green Energy Ltd, which also declared its second quarter earnings, did not receive any new notice from SEBI.
"During the current quarter, an SCN (show-cause notice) has been received alleging wrongful categorization of shareholding of certain entities as public shareholding and consequences therefrom," AESL said. "The company will respond to the regulatory and statutory authorities by providing information, responses, documents and/or clarifications, as applicable, in the due course of time."
SEBI's listing rule provides for listed firms having a minimum of 25 per cent of equity owned by public investors. Foreign portfolio investors having links to the promoter group are generally clubbed as promoter holding.
Seven out of the 10 listed firms of Adani group had received show cause notices from the Securities and Exchange Board of India (SEBI) for alleged violation of related party transactions and non-compliance with listing regulations in the quarter ended March 31, the companies had stated in their regulatory filings to stock exchanges.
While group's flagship Adani Enterprises Ltd, renewable energy firm Adani Green Energy Ltd (AGEL) and city gas distributor Adani Total Gas Ltd in May stated that SEBI sent notices to their parent or holding company controlled by the conglomerate's chairman Gautam Adani, ports company Adani Ports & Special Economic Zone, Adani Power, electricity transmission firm Adani Energy Solutions, and commodities firm Adani Wilmar had said they have received SEBI notices.
The SEBI notices were part of a probe that followed US short-seller Hindenburg Research making damning allegations of corporate fraud and stock price manipulation against the Adani Group in January 2023. Though Adani vehemently denied all allegations, the report triggered a stock rout that wiped out about USD 150 billion of the group's market value at its lowest point.
Most of the group stocks have bounced back as the ports-to-energy conglomerate plotted a comeback strategy.
A show cause notice is not an indictment and seeks an explanation from entities as to why legal action should not be taken against them.
AGEL in the filing said a short-seller's report (SSR) made certain allegations against some of the Adani Group companies.
The matter went to the Supreme Court (SC), which observed that SEBI was investigating the matter while also constituting an Expert Committee to investigate as well as suggest measures to strengthen existing laws and regulations.
The Expert Committee in its May 6, 2023, report found no regulatory failure in respect of applicable laws and regulations. The SEBI also concluded its investigations in 22 of the 24 matters as per the status report dated August 25, 2023, to the SC.
On January 3, 2024, the SC disposed of all matters in various petitions, including those relating to separate independent investigations relating to the allegations in the SSR. Further, the SC directed SEBI to complete the pending two investigations, preferably within three months, and take its investigations (including 22 already completed) to their logical conclusion in accordance with the law.
During the quarter ended March 31, 2024, the holding company received a show cause notice from the SEBI relating to the validity of Peer Review Certificate (PRC) of one of the joint auditors in earlier financial years, which the holding company has responded to.
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UP: Oxygen cylinder explodes; ailing woman, pregnant daughter among 6 of family dead
Bulandshahr (UP), Oct 22: An oxygen cylinder kept to aid in the care of an ailing woman exploded in a house in Bulandshahr's Sikandrabad area, killing her and five members of her family, including her husband and her three-year-old granddaughter.
The tragedy that snuffed out the lives of 45-year-old Rukhsana, who had recently been discharged from hospital, her husband Riyazuddin, their three children and granddaughter took place on Monday night. Their two-storey home, which housed 19 members of the family, collapsed partially due to the blast.
Rukhsana's daughter Tamannah who lost her life in the accident was nine-month pregnant, her husband Rizwan said.
Citing the postmortem report of the six deceased, Chief Medical Officer of Bulandshahr Dr Vinay Kumar Singh said one of the women was pregnant.
The last rites of the six deceased were held on Tuesday afternoon.
When the bodies were brought back home today after the postmortem, each covered in a shroud, cries of anguish filled the air as hundreds of people gathered outside the family residence in Ashapuri Colony to share their condolences.
District Magistrate of Bulandshahr Chandra Prakash Singh said, "A cylinder blast occurred in the Ashapuri colony of Sikandrabad between 8.30 pm and 9 pm leading to the collapse of the entire house."
Two or three others suffered injuries in the incident and the rest were safe, according to officials.
Riyazuddin (50), his wife Rukhsana (45), their sons Aas Mohammed (26), Salman (16), daughter Tamannah (24) and her child Hibza (3) died due to the blast.
"She (Tamannah) had asked me to take her back home after two days," Rizwan said. He spoke to her last around 5 pm, he said tearfully.
"Now, I'm left with the pain of losing my mother-in-law, father-in-law, brothers-in-law, wife and daughter all at once," Rizwan said.
Talking to PTI Videos, neighbours and first responders described the chaos that unfolded after the explosion.
Asif, who has lived next door for 18 years, said, "I heard a sound that felt like something had exploded. I ran outside and saw locals rushing to help. It was chaos, with people inside the house needing to be pulled out."
The explosion created a red flash, followed by darkness in the house. We had to use our mobile phone torches to navigate the thick dust while trying to rescue anyone trapped inside," another neighbour said.
NDRF officer Neeraj Singh, who oversaw the on-ground rescue and relief operations, said the relief work by local police and administration had already started at the site by the time his force reached.
Surface victims had been moved to safety when the NDRF arrived. The NDRF's operations lasted about three hours, Neeraj Singh said.
"We used methods of canine search, technical search, physical search, etc. as per our procedures to make sure no live victim was left behind in the rubble until the civil authorities called off the operations," Singh told PTI Videos.
Personnel of the NDRF, fire brigade, police, medical and the local administration were involved in the rescue work, Additional Director General of Police, Meerut Zone, Dhruva Kant Thakur said.
DM Singh said the iron beams of the roof of the house had to be pried open using gas cutters. An excavator was also used to clear the debris, he said.
Chief Minister Yogi Adityanath took immediate cognisance of the incident and directed officials to visit the spot and ensure good treatment to the injured, the DM said.
Senior Superintendent of Police of Bulandshahr Shlok Kumar told PTI that the rescue operation was completed on Tuesday morning. The cylinder, its nozzle, etc. have been recovered from the debris, he said.
