Sebi: Hindenburg Shared Adani Report with Clients 2 Months Before Release
ECONOMY & POLICY

Sebi: Hindenburg Shared Adani Report with Clients 2 Months Before Release

The US short-seller Hindenburg Research reportedly shared an advance copy of its critical report on the Adani group with New York-based hedge fund manager Mark Kingdon about two months before its public release. According to the Securities and Exchange Board of India (Sebi), this collaboration resulted in profits from the share price movement of Adani group companies. In a 46-page show-cause notice, Sebi detailed how Hindenburg, the New York hedge fund, and a broker associated with Kotak Mahindra Bank benefited from the market value loss of over $ 150 billion in Adani group's 10 listed firms following the report's publication.

Sebi accused Hindenburg of making unfair profits through collusion, using non-public and misleading information to induce panic selling in Adani Group stocks. In response, Hindenburg published the Sebi notice and described it as an attempt to silence and intimidate those exposing corruption and fraud by powerful individuals in India. They also revealed that the vehicle used for betting against Adani's flagship firm, Adani Enterprises (AEL), belonged to Kotak Mahindra (International), a Mauritius-based subsidiary of Kotak Mahindra Bank.

The show-cause notice included excerpts from time-stamped chats between a hedge fund employee and KMIL traders about selling future contracts in AEL. Kotak Mahindra Bank claimed that Kingdon never disclosed any relationship with Hindenburg or that they were acting on any price-sensitive information.

The US short-seller Hindenburg Research reportedly shared an advance copy of its critical report on the Adani group with New York-based hedge fund manager Mark Kingdon about two months before its public release. According to the Securities and Exchange Board of India (Sebi), this collaboration resulted in profits from the share price movement of Adani group companies. In a 46-page show-cause notice, Sebi detailed how Hindenburg, the New York hedge fund, and a broker associated with Kotak Mahindra Bank benefited from the market value loss of over $ 150 billion in Adani group's 10 listed firms following the report's publication. Sebi accused Hindenburg of making unfair profits through collusion, using non-public and misleading information to induce panic selling in Adani Group stocks. In response, Hindenburg published the Sebi notice and described it as an attempt to silence and intimidate those exposing corruption and fraud by powerful individuals in India. They also revealed that the vehicle used for betting against Adani's flagship firm, Adani Enterprises (AEL), belonged to Kotak Mahindra (International), a Mauritius-based subsidiary of Kotak Mahindra Bank. The show-cause notice included excerpts from time-stamped chats between a hedge fund employee and KMIL traders about selling future contracts in AEL. Kotak Mahindra Bank claimed that Kingdon never disclosed any relationship with Hindenburg or that they were acting on any price-sensitive information.

Next Story
Infrastructure Urban

IEEMA Targets over 2X Growth in Electronics Exports within 5 Years

The electrical and electronics manufacturing sector in India aims to more than double its exports to $25 billion over the next five years. Currently, the industry exports goods worth approximately $12 billion. The Indian Electrical & Electronics Manufacturers' Association (IEEMA) is focused on expanding market access globally and positioning India as a key hub for electrical and electronics manufacturing. At Elecrama 2025 in Greater Noida, industry representatives emphasized the growing global interest in India as a reliable energy solutions provider, driven by shifts in the international su..

Next Story
Infrastructure Urban

Kerala Secures Rs 1.53 Tn Investment Proposals at Investors' Summit

Kerala secured investment proposals worth Rs 1.53 trillion from 374 companies during the two-day Invest Kerala Global Summit 2025 (IKGS). The largest commitment, amounting to Rs 300 billion, came from the Adani Group. The summit, held on February 21-22, attracted significant interest from the information technology sector, with 24 companies planning expansions through an additional investment of nearly Rs 85 billion, creating around 60,000 new jobs. A total of 66 companies submitted expressions of interest (EoIs) for investments exceeding Rs 5 billion. The summit strengthened investor confid..

Next Story
Building Material

Artson Group, Malabar Cements Team Up for Boat Manufacturing in Kerala

Artson Group, a subsidiary of the Tata Group, has partnered with Malabar Cements, a public sector undertaking, to establish a boat manufacturing unit in Kochi. A Memorandum of Understanding (MoU) was signed during the Invest Kerala Global Summit, which concluded on Saturday, for the development of this Rs 3 billion project. The initiative aims to boost industrial growth in Kochi, with the Tata Group subsidiary expressing its commitment to investing in the region. Under the agreement, a boat manufacturing unit specializing in vessels under 100 tonnes will be developed on a seven-acre plot leas..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?