Hindenburg attacking Sebi's credibility, indulging in character assassination of its chief: Chairperson Madhabi Puri Buch and husband Dhaval Buch

Mumbai, August 11

US-based short seller Hindenburg Research is attempting to attack Sebi's credibility and indulging in character assassination of its chairperson, Sebi chief Madhabi Puri Buch and her husband Dhaval Buch said on Sunday.

In a detailed statement issued on Sunday evening in response to allegations made by Hindenburg, the Buchs said their investment in a fund promoted by IIFL Wealth Management was as Singapore-based private citizens, and made two years before Madhabi joined Sebi as a whole-time member.

They said Dhaval, a senior advisor at Blackstone since 2019, is not associated with the real estate side of the private equity major.

The statement also said that Madhabi's two consulting companies immediately became "dormant" on her appointment at Sebi in 2017 as a whole-time member.

"Hindenburg has been served a show cause notice for a variety of violations in India. It is unfortunate that instead of replying to the show cause notice, they have chosen to attack the credibility of the SEBI and attempt character assassination of the SEBI chairperson," the statement said.

In a statement shared right after the short seller came up with its latest report, Buchs termed the allegations as "baseless".

Hindenburg Research alleged that it suspects SEBI's unwillingness to act against Adani group may be because Madhabi Buch had stakes in offshore funds linked to the conglomerate.