Hindenburg-SEBI Row: Its Blackmail Plan Fell Apart, Says Investor Vijay Kedia

Hindenburg-SEBI Row: Kedia wrote on X, “Turns out, the Hindenburg wasn’t so smart, Its blackmail plan fell apart, So now it’s remembered, not for its threats, But for going down in a fiery mess…”

Hindenburg-SEBI Row: Prominent investor Vijay Kedia took to X (formerly Twitter) on Monday to weigh in on the ongoing controversy between Hindenburg Research and Securities and Exchange Board of India’s (SEBI) chief Madhabi Puri Buch. Kedia critiqued Hindenburg Research in his tweet, expressing doubts about the firm's strategies and approach. 

In his post on X, Kedia wrote, “Turns out, the Hindenburg wasn’t so smart, Its blackmail plan fell apart, So now it’s remembered, not for its threats, But for going down in a fiery mess…” The ace investor's tweet reflects his belief that Hindenburg Research's efforts were ultimately ineffective, characterising their actions as a failed strategy.

Hindenburg Research-SEBI Row

Hindenburg released a report on its website earlier on Saturday alleging that SEBI chief Madhabi Puri Buch and her husband Dhaval Buch had interests in offshore funds based in Bermuda and Mauritius. Gautam Adani's brother, Vinod Adani, allegedly used these funds “to amass and trade large positions in shares of the Adani Group.”

The Hindenburg report, referencing whistleblower documents, alleged that Buch opened an account with IPE Plus Fund 1 in Singapore on June 5, 2015. It also claimed that an offshore Mauritius fund, set up by an Adani director through IIFL, is registered in the tax haven of Mauritius.

In response, the SEBI chief and her husband dismissed Hindenburg Research's allegations as “baseless,” accusing the US-based short-seller of engaging in character assassination following a show-cause notice issued by the regulator in connection with the Adani controversy.

“In the context of allegations made in the Hindenburg Report dated August 10, 2024, against us, we would like to state that we strongly deny the baseless allegations and insinuations made in the report. The same are devoid of any truth. Our life and finances are an open book,” the Buchs said in the statement.

Additionally, the markets regulator Chairperson and her husband, Dhaval Buch, have released a detailed statement denying all the allegations made by Hindenburg.