Connect with us

Business

SEBI hid facts to shield Adani, petitioner claims in Supreme Court

Published

on

[ad_1]

New Delhi The Securities and Exchange Board of India (Sebi) not only concealed several facts about previous investigations against the Adani Group but also tweaked the regulations to keep the group’s regulatory contraventions and price manipulations undetected, one of the petitioners demanding investigations into allegations of stock manipulation and accounting fraud against the Adani Group made by US short-seller Hindenburg Research, has claimed in the Supreme Court.

A petitioner claims in the Supreme Court that Sebi hid facts against Adani group in stock manipulation probe. (HT Archive)
A petitioner claims in the Supreme Court that Sebi hid facts against Adani group in stock manipulation probe. (HT Archive)

In an affidavit filed two days ago, Anamika Jaiswal alleged that the market regulator did not apprise the court of an investigation initiated by the directorate of revenue intelligence (DRI) against the Adani group of companies over alleged overvaluation of import of equipment and machinery by various entities of the Adani Group from a UAE-based subsidiary.

Also Read: Why is PM not ordering a probe into Adani row: Rahul Gandhi

In January 2014, DRI sent a letter to the then Sebi chairperson, UK Sinha, alerting him that there may be stock market manipulation by the Adani group of companies, said Jaiswal’s affidavit, adding this letter was also accompanied by a CD containing evidence of siphoning of 2,323 crore. According to the petitioner, Sinha chose to close the investigation instead of acting on DRI’s inputs. It pointed out that Sinha, who retired as Sebi chairperson in March 2017, is now a non-executive director of NDTV, which was acquired by the Adani Group in 2022.

Jaiswal further said that the Central Bureau of Investigation (CBI) also had to shut its probe in the matter after the Maharashtra government did not grant sanction for prosecution.

Also Read| ’22 out of 24 matters probed’: SEBI submits status report to SC in Adani case

“It is shocking that SEBI has not disclosed the receipt of the said letter (DRI letter) and evidence from the DRI till date before this Hon’ble Court,” stated the affidavit, citing Sebi’s previous statements to the court that it started investigation against the Adani group only in June-July 2020. The affidavit said that Sebi’s conduct amounts to perjury.

Referring to the latest status report submitted by Sebi in the court earlier this month, Jaiswal said that though the market regulator claimed that 22 out of 24 investigations arising out of the Hindenburg report were final in nature, outcomes of these investigations have been kept under wraps by Sebi.

The affidavit also alleged a conflict of interest in Sebi conducting investigation into the matter. It said that Cyril Shroff, managing partner, Cyril Amarchand Mangaldas law firm, has been a member of Sebi’s committee on corporate governance, which looks at offences like insider trading. “Cyril Shroff’s daughter is married to Karan Adani, son of Gautam Adani, showing clear conflict of interest,” claimed Jaiswal, stressing that 5 of the 24 Sebi investigation reports are on insider trading allegations against the Adani group.

HT reached out to Shroff and the law firm for a response to Jaiswal’s allegations, but the attempts remained unsuccessful.

To be sure, the committee on corporate governance was constituted by Sebi in 2017 and it has 23 other members, which include bankers, entrepreneurs, chartered accountants, business executives, senior bureaucrats and corporate lawyers.

Jaiswal’s affidavit also referred to certain new reports by international papers that reportedly incriminate the Adani Group for contravening an array of regulations. It further maintained that Sebi brought amendments into the regulations relating to foreign portfolio investors (FPIs) and listing obligations and disclosure requirement (LODR) were in 2014 and 2015 respectively only to benefit the Adani group.

The Supreme Court is expected to take up the matter on September 15.

Hindenburg’s report published in January claimed “brazen accounting fraud” and “stock manipulation” by the Gautam Adani-led group. Though the conglomerate rejected the report as “unresearched” and “maliciously mischievous”, it triggered a massive rout of Adani Group stocks, which lost over $140 billion in days and forced the cancellation of a 20,000 crore share sale in the group’s flagship.

Acting on a clutch of petitions demanding a probe into the matter, the Supreme Court on March 2 set up a six-member panel, led by retired Supreme Court judge AM Sapre, to look into regulatory failure by Sebi and alleged breach of laws by the Adani Group.

In its report submitted in May, the committee said the allegations of stock price manipulation or violation of MPS norms by Adani Group companies cannot be proved “at this stage”.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Biden’s Hollywood Break-Up: Celebrities Say It’s Time for a Change

Published

on

As President Joe Biden nears the halfway mark of his term, a noticeable shift is occurring within Hollywood’s elite. Once a stronghold of Democratic support, a growing number of celebrities are voicing their discontent with the current administration and calling for a change in leadership.

The Growing Discontent

Policy Disagreements:Many celebrities have expressed frustration over Biden’s handling of key issues such as climate change, healthcare, and immigration. Despite campaign promises, some feel that progress has been too slow or insufficient.

Environmental advocates, in particular, have been vocal about their disappointment with the administration’s compromises on climate policy, arguing that urgent action is needed to address the climate crisis.

Cultural and Social Issues:Hollywood’s progressive base has criticized Biden for not taking a stronger stance on social justice issues. High-profile figures in the entertainment industry have called for more aggressive reforms on policing, racial equality, and LGBTQ+ rights.

The Supreme Court’s recent decisions on reproductive rights have also fueled discontent, with many feeling that the administration should have taken more decisive action to protect these rights.

Economic Concerns:Celebrities have highlighted economic disparities and the administration’s handling of the post-pandemic recovery. Rising inflation and economic instability have led some to question Biden’s economic policies and their impact on everyday Americans.

The entertainment industry itself has faced challenges, including strikes and disputes over working conditions, which some feel have not been adequately addressed by the administration.

Calls for Change New Leadership:Prominent figures in Hollywood are advocating for new leadership within the Democratic Party, suggesting that fresh faces and ideas are needed to address the current political and social climate.

Some celebrities have even hinted at support for potential challengers within the party who might better align with their progressive values and vision for the future.

Increased Activism:The dissatisfaction has led to increased political activism among celebrities, with many using their platforms to mobilize fans and encourage voter participation. Grassroots campaigns and advocacy efforts are gaining momentum as celebrities push for change.

Social media has become a powerful tool for these efforts, allowing celebrities to reach wide audiences and galvanize support for various causes and candidates.

Impact on Upcoming Elections

Influence on Voters:Hollywood celebrities have long held sway over public opinion, and their shift in support could influence voters, especially younger demographics who look up to these figures.The growing call for change may lead to a more dynamic and competitive Democratic primary, potentially reshaping the party’s platform and priorities.

Republican Opportunities:The discontent within Hollywood could also present opportunities for Republican candidates to appeal to disillusioned voters. By addressing key issues and presenting viable alternatives, Republicans may seek to capitalize on the divide within the Democratic base.

Conclusion

The evolving relationship between Hollywood and the Biden administration highlights the complexities of political alliances and the changing landscape of American politics. As celebrities increasingly voice their desire for change, their influence could play a significant role in shaping the future of the Democratic Party and the broader political discourse in the United States.

Continue Reading

Business

The Shift from Celebrity Endorsements to Influencer Marketing

Published

on

In recent years, the marketing landscape has witnessed a significant shift from traditional celebrity endorsements to influencer marketing. This evolution is driven by changes in consumer behavior, the rise of social media, and the need for more authentic and relatable brand connections.

Why the Shift is Happening

Authenticity and Relatability:Consumers increasingly seek genuine and relatable recommendations. Influencers, who often share personal stories and experiences, provide a sense of authenticity that traditional celebrity endorsements sometimes lack.

Influencers typically have a niche audience that trusts their opinions, making their endorsements feel more like personal recommendations than paid promotions.

Engagement and Interaction:Influencers engage directly with their followers through comments, likes, and direct messages, creating a two-way interaction. This engagement fosters a sense of community and trust.

Celebrities, while having large followings, often maintain a more distant relationship with their audience, which can reduce the perceived authenticity of their endorsements.

Targeted Reach:Brands can leverage influencers to reach specific demographics and niches. Influencers often cater to particular interests, allowing brands to target their marketing efforts more precisely.

Celebrity endorsements, on the other hand, tend to have a broader reach but may not effectively target specific audience segments.

Cost-Effectiveness:Working with influencers, especially micro-influencers (those with smaller, highly engaged followings), can be more cost-effective than high-profile celebrity endorsements.

Brands can collaborate with multiple influencers to achieve a wide reach at a lower cost compared to a single celebrity endorsement deal.

Content Diversity:Influencers create a variety of content formats, including videos, stories, and blog posts, offering brands multiple ways to connect with their audience. This diverse content can be more engaging and shareable.

Celebrity endorsements are often limited to traditional advertising formats, which may not resonate as effectively with modern, digital-savvy consumers.

Examples of Influencer Marketing Success

Fashion and Beauty:Brands like Glossier and Fashion Nova have leveraged influencers to build their brands. Influencers’ reviews, tutorials, and unboxing videos have driven significant brand awareness and sales.

Travel and Lifestyle:Companies like Airbnb and GoPro collaborate with travel influencers to showcase their products in real-life scenarios. Influencer-generated content highlights authentic travel experiences and inspires followers.

Fitness and Wellness:Fitness brands such as Gymshark have grown exponentially by partnering with fitness influencers who demonstrate the use of their products, share workout routines, and motivate their followers.

Conclusion

The shift from celebrity endorsements to influencer marketing reflects a broader trend towards authenticity, engagement, and targeted reach in the digital age. While celebrities still hold significant influence, the rise of social media has democratized marketing, allowing influencers to build strong, loyal communities. Brands that adapt to this shift and leverage the power of influencer marketing can create more meaningful connections with their audience, ultimately driving greater brand loyalty and success.

Continue Reading

Business

Virat Kohli Surpasses Shah Rukh Khan and Ranveer Singh to Become King of Celebrity Brand Value

Published

on

In the ever-evolving landscape of celebrity endorsements and brand associations, Virat Kohli has achieved a significant milestone by surpassing Bollywood icons Shah Rukh Khan and Ranveer Singh to become the king of celebrity brand value in India. This accomplishment underscores Kohli’s unparalleled popularity and influence, extending beyond the cricket field to a dominant presence in the advertising and branding world.

How Celebrity Brand Value is CalculatedCelebrity brand value is a metric that evaluates the monetary worth a celebrity brings to a brand through their endorsements. The calculation of this value involves several factors:

Marketability and Endorsement Deals: The number and nature of endorsement deals a celebrity secures play a crucial role. Higher and more lucrative deals increase the brand value.

Public Perception and Popularity: Surveys and market research assess the celebrity’s popularity, likability, and public perception. Positive sentiment and a strong fan base contribute significantly to brand value.

Media Presence and Visibility: The frequency and nature of a celebrity’s appearances in media, including social media, television, and print, impact their brand value. Greater visibility often translates to higher brand value.

Social Media Influence: In today’s digital age, a celebrity’s social media presence and engagement are vital. High follower counts and interaction rates boost brand value.

Impact on Sales and Brand Image: The effectiveness of a celebrity in driving sales and enhancing a brand’s image is a direct indicator of their brand value. Brands track the performance of campaigns featuring the celebrity to gauge this impact.

Longevity and Consistency: The duration of a celebrity’s relevance and their ability to maintain consistent performance over time contribute to their overall brand value.

Virat Kohli’s ascent to the top is a testament to his exceptional marketability, vast popularity, and strategic brand associations. His strong social media presence, consistent performance as a cricketer, and charismatic personality have all played pivotal roles in elevating his brand value. By surpassing established Bollywood stars like Shah Rukh Khan and Ranveer Singh, Kohli has solidified his position as a leading figure in both sports and brand endorsements, showcasing the growing influence of athletes in the world of celebrity branding.

Continue Reading

Trending