The Congress alleged on Tuesday that the Adani Group and its chairperson Gautam Adani were benefiting from a “syndicate” seeking to secure monopolies for the conglomerate in India’s civil aviation, shipping, cement, power and defence industries.
Party leader and Leader of Opposition in the Lok Sabha Rahul Gandhi alleged that the Union government and its regulatory bodies, such as the Securities and Exchange Board of India, were part of a “dangerous nexus” at the heart of the alleged syndicate.
Gandhi said in a post on social media: “The rot in India’s institutional framework has reached alarming depths with the rise of a ‘Monopoly Bachao Syndicate’. At the core of this syndicate is a dangerous nexus between Adani, key regulatory bodies, and the Modi-led Bharatiya Janata Party.”
Gandhi also alleged that Adani Defence was profiting from “merely rebranding” foreign-made weapons while crucial funds meant for the training, pensions and welfare of young soldiers and their families were being diverted to the company through schemes like the Agnipath Yojana.
“This betrayal compromises national security and jeopardises our youth’s future,” Gandhi said.
The Agnipath scheme was launched in 2022 for short-term recruitment to the armed forces. It triggered protests across several states as aspirants demanded permanent recruitment with pension benefits, instead of being recruited as Agniveers.
Gandhi also contended on Monday that Gautam Adani’s finances were “directly linked to his valuation – the more he is valued, the bigger the balloon seems and the more access he has to finance”.
The Congress leader alleged that SEBI Chairperson Madhabi Puri Buch was complicit in protecting the industrialist’s “valuation and reputation”.
In August, American investment firm Hindenburg Research alleged that the SEBI chief and her husband Dhaval Buch had “hidden stakes” in offshore entities tied to stock price manipulation and money laundering by the Adani Group.
Madhabi and Dhaval Buch denied the allegations, saying they had made all necessary disclosures to the market regulator.
This came 18 months after Hindenburg Research accused the Adani Group of engaging in accounting fraud and money laundering using offshore tax havens.
The market regulator, led by Madhabi Buch, had “drawn a blank” in its investigation of these allegations last year and told a Supreme Court-appointed panel that further enquiry could be a “journey without a destination”.
On Tuesday, the Congress alleged that the SEBI chief had rented out a flat she owns in Mumbai to a company called Green World Buildcon and Infra Private Limited, which is owned by individuals who have a “significant background with the Indiabulls Group”.
The party said this amounted to a conflict of interest.
Pawan Khera, the chief of the Congress’ media and publicity wing, claimed that the market regulator had investigated several cases involving the IndiaBulls Group and that Madhabi Buch’s actions had violated SEBI’s Code on Conflict of Interest for Members of Board.
“Besides SEBI actions, the company has also been involved in cases before other regulators and courts, and SEBI has provided affidavits in those cases,” Khera said.