Gautam Adani, India’s richest person, has seen his fortunes fall below the coveted $100 billion-mark amid a rout in the Adani Group stocks triggered by US-based short seller Hindenburg’s report, showed data. As per Forbes, Adani, 60, was worth $96.80 billion in Wednesday’s trade, down 18.81 per cent. He is the seventh richest person in the world, as per Forbes. Adani Group stocks have been battered amid some serious allegations by Hindenburg Research, which included stock manipulation, money laundering and accounting frauds by the group companies.
Meanwhile, a Reuters report on Friday suggested the market watchdog Sebi would study the Hindenburg Research report for its ongoing preliminary investigation into the conglomerate’s offshore fund holdings. Adani Group stocks fell up to 25 per cent in trade on Friday.
Adani Group said on Thursday it was evaluating the relevant provisions under US and Indian laws for remedial and punitive action against Hindenburg Research.
Hindenburg Research, in its response, said that it would welcome any legal action. It said it fully stands by its report and believes any legal action taken against it would be meritless.
“If Adani is serious, it should also file suit in the US where we operate. We have a long list of documents we would demand in a legal discovery process,” Hindenburg said.
The Adani Group had earlier termed Hindenburg’s report as “maliciously mischievous and unresearched”, which, it said, adversely affected the Adani Group, its shareholders and investors.
Hindenburg Research report talked about Gautam Adani’s brother Rajesh Adani and brother-in-law Samir Vora, who it said played key roles in the diamond trading import/export scheme using offshore shell entities to generate artificial turnover.
Adani’s brother Vinod Adani, found at the centre of government investigations “regularly”, manages a network of offshore entities that have collectively moved billions of dollars into Adani’s publicly listed and private entities, Hindenburg Research said.
Billionaire investor William Ackman, in a tweet on Thursday, said he found short-seller Hindenburg Research’s report on Adani Group “highly credible and extremely well researched.”
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