ED flags suspicious activities by 16 entities, including one private Indian bank, in Adani case
Adani group companies' shares.
A TOI report on Wednesday showed that the central investigative agency has shared its intelligence related to these 16 entities, which includes foreign portfolio investors (FPIs) with Securities and Exchange Board of India (Sebi).
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Offering CollegeCourseWebsiteIIM KozhikodeIIMK Advanced Strategic Management ProgrammeVisitIndian School of BusinessISB Chief Digital OfficerVisitUniversity of Western AustraliaUWA Global MBAVisitIndian School of BusinessISB Chief Technology OfficerVisitWhile the ED cannot register a probe under the Prevention of Money Laundering Act (PMLA) until there is a predicate offence, the SEBI has the power to register a criminal investigation against any entity found involved in any suspicious activity with a potential to undermine fair legal practices.
In this case, if Sebi files a prosecution complaint, it can become the ground for the ED to initiate a probe under PMLA, TOI said.
The ED has gathered substantial intelligence against some Indian and foreign entities involved in seemingly “suspicious” activities in the Indian share market — some as early as November 2022 — related to the Hindenburg report and short-selling positions taken by them, TOI reported citing sources.
US-based short-seller Hindenburg on January 24 through a report alleged stock manipulation and fraud by the conglomerate led by Gautam Adani. The Adani Group has attacked Hindenburg as «an unethical short seller», stating that the report by the New York-based entity was «nothing but a lie». A short-seller in the securities market books gains from the subsequent reduction in the prices of shares.
The report says that few FPIs had
