New Delhi: Congressman Jairam Ramesh has requested for an investigation into the accusations made against the Adani Group by Hindenburg Research in two separate letters to the Securities and Exchange Board of India (SEBI)  chairperson Madhabi Puri Buch and Governor Shaktikanta Das of the Reserve Bank of India (RBI)

His letter to the SEBI head stated that inquiries must be "fair and complete, with no favour," citing the Adani Group's huge size.

The letter stated that failing to comply with the request would "throw a shadow on Indian corporate governance and on India's financial authorities, and may damage our capacity to raise money abroad." He emphasised that the multiple accusations made against the Adani Group require a full-fledged impartial examination.

Furthermore, he questioned in his letter why important financial institutions like the State Bank of India and the Life Insurance Corporation of India had purchased a significant amount of Adani Group equities at a time when the majority of private funds were markedly underweight.

"In recent days, the Adani Group stock of LIC, which 30 crore Indians trust with their life savings, has lost millions of crores. Shouldn't we make sure that these public sector financial institutions invest more cautiously than their private sector counterparts and are not subject to external pressure?" he questioned.

In his letter to the RBI governor, he demanded that the institution look into two issues: the extent of the Adani Group's exposure to the Indian banking system, and any potential bailout plans in the event that the organization's foreign funding is reduced "He RBI must consider two factors: First, how exposed is the Indian banking system to the Adani Group? Second, in the event that foreign funding dries up, what express and implied promises have been made to the Adani Group that Indian banks will step in to save it? "In the letter, he said.

Over the past 2 weeks, share prices of entities in the Adani Group have fallen significantly. The short seller's report alleged stock manipulation and fraud by the conglomerate.

The US-based company expressed concern about the prospect that shares of Adani group firms could fall from their current levels as a result of excessive valuations, "brazen stock manipulation," and "accounting fraud," among other things, in its report on January 24.

The Adani Group called Hindenburg "an unscrupulous short seller" and said the New York-based organization's research was "nothing but a fraud." The Adani Group also slammed Hindenburg.

The group's flagship company, Adani Enterprises Limited, cancelled a fully subscribed Rs 20,000 crore follow-on public offer as a result of the group's stocks' ongoing sell-offs. A follow-on public offering (FPO) is when a firm listed on a stock exchange issues shares to investors following its initial public offering (IPO).

On January 29, Adani Group released a lengthy 413-page report in which it claimed that the recent Hindenburg Research research was not an attack on any particular company but rather a "planned attack" on India, its growth trajectory, and its aspirations.

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