“SEBI Investigates Adani Group’s Ties with Dubai Businessman-Owned Fund for Share Ownership Violation”
The Securities and Exchange Board of India (SEBI) is currently investigating the Adani Group’s connection with the Gulf Asia Trade & Investment fund, incorporated in the British Virgin Islands and owned by Dubai businessman Nasser Ali Shaban Ahli. This investigation seeks to determine if there have been any violations of share ownership rules, following concerns raised by short-seller Hindenburg Research earlier this year.
The Securities and Exchange Board of India (SEBI) is currently investigating the Adani Group’s connection with the Gulf Asia Trade & Investment fund, incorporated in the British Virgin Islands and owned by Dubai businessman Nasser Ali Shaban Ahli. This investigation seeks to determine if there have been any violations of share ownership rules, following concerns raised by short-seller Hindenburg Research earlier this year.
The Gulf Asia Trade & Investment fund has invested in several listed Adani Group companies, as reported by the Organized Crime and Corruption Reporting Project (OCCRP). These investments have raised questions about the relationship between the Adani Group and the fund and whether they may have been acting “in concert” with key Adani shareholders.
The Adani Group has previously denied any allegations of improper financial transactions or “opaque use” of funds by its business partners.
Indian law stipulates that listed companies must have at least 25% public ownership to prevent price manipulation, and any dealings between entities acting in concert must identify and disclose the involved parties.
Nasser Ali Shaban Ahli, a Dubai businessman, has been described as having “longtime business ties” to billionaire Gautam Adani, the founder of the Adani Group, by the OCCRP. The investigative journalism network also claimed that Gulf Asia used offshore structures to buy and sell Adani shares between 2013 and 2018.
In light of the allegations and the ongoing SEBI investigation, the Adani Group’s reputation and financial standing have been under scrutiny. The conglomerate, which has businesses spanning ports, airports, power, and the property sector, has seen its main seven listed firms lose a combined $100 billion in market value since the Hindenburg report earlier this year.
As the investigation continues, more details about the nature of the relationship between the Adani Group and the Gulf Asia Trade & Investment fund are expected to emerge.
SEBI has said it is close to completing its probe and has been investigating 24 transactions involving the group’s listed companies, having already completed work on 22 of them.
Sources By Agencies
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