Pre-Sibi Chairperson Madby Puri Buch. File | Photo Credit: PTI
A special court in Mumbai has directed the Anti-Corruption Bureau (ACB) to register an FIR against former Sebi President Madibi Puri Buch and five other officials regarding alleged stock market fraud and regulatory violations.
Special ACB Court Judge Sasikant Eknathrao Bangar said in an order passed on Saturday, “There is priority facial evidence of regulator laps and collusion, requiring a fair and impartial investigation.”
The court said it would monitor the investigation, and demanded a status report (of the case) within 30 days. The court order also mentioned that the allegations revealed a cognitive crime, requiring an inquiry.
Judicial intervention is required under the provisions of Inactivity CRPC (Criminal Procedure Code) by Law Enforcement (agencies) and India’s Securities and Exchange Board (SEBI).
Allegations against Madi Puri Buch
A media reporter, the complainant investigated the alleged crimes committed by the proposed accused, including Larzscale financial fraud, regulatory violations and corruption.
Charges belong to a company’s fraud list on a company on the stock exchange with active combination of SEBI Act, 1992 and under the rules and rules, especially SEBI.
The complainant claimed that the SEBI officials failed their statutory duties, facilitated manipulation in the market, and allowed corporate fraud by allowing a company list that did not meet the prescribed criteria.
The complainant said that despite reaching the concerned police station and regulatory bodies on several occasions, no action has been taken by them.
After considering the content on the records, the ACB Worli directed the Mumbai region, to file an FIR under the relevant provisions of the IPC, the prevention of the Corruption Act, the SEBI Act, and other applicable laws.
India’s first female SEBI Chief Buch, who faced a conflict of the US-based short-seler Hindenberg and then political heat allegations, completed their three-year term on Friday.
However, Ms. Buch during her tenure made significant progress in areas such as rapid settlements, extended the revelations of FPI and, increased the increase in mutual funds through 250 SIPs, the final year of her tenure extended the controversy when she deferred a series of allegations for working with Hindenburg and Congress Party. ,
In August last year, Ms. Buch faced pressure to resign after Hindenburg research, accusing her of conflict of interest, which stopped a thorough investigation into the claims of manipulation and fraud in the Adani group.
Hindonberg accused Madibi Puri Buch and her husband Dhaval Buch of investing in offshore institutions, who were reportedly part of a fund structure, including Vinod Adani – Adani Group’s elder brother of Gautam Adani, the founding president of the Adani Group.
Ms. Buch denied the allegation, stating that the investment was done before joining the regulator and she complied with all the disclosure requirements.
Hindonberg recently announced the closure of its business.
Published – March 02, 2025 04:31 pm IST
