Hindenburg 2.0: What exactly is the controversy surrounding Sebi chief Madhabi Puri Buch and offshore funds?
Hindenburg Research on August 10 made serious allegations about the involvement of Sebi chairperson Madhabi Puri Buch and her husband Dhaval Buch in a Mauritius-based offshore fund ‘IPE Plus Fund 1’, which allegedly received investments from a Bermuda-based fund linked to Vinod Adani, the elder brother of billionaire Gautam Adani.
The U.S.-based short seller alleged that ATIL, a company controlled by Vinod Adani, subscribed to Bermuda’s Global Dynamic Opportunities Fund (GDOF), a sub-fund of the Global Opportunities Fund. The Financial Times had alleged that the parent fund was used by two of Adani’s associates to acquire and trade large amounts of positions in Adani Group stocks.
Citing the whistleblower report, Hindenburg Research said this GDOF fund invested ATIL’s money in Mauritius-registered IPE Plus Fund 1 – where the Buch couple was also invested – which used these funds to invest in Indian stocks and trade in equity shares, derivatives and other financial instruments. According to the report, the fund is managed by 360 One WAM Limited (formerly India Infoline or IIFL).
