The Securities and Exchange Board of India (SEBI) alleged that Hindenburg Research engaged in unfair trade practices in its report on Gautam Adani. SEBI says the firm “deliberately sensationalized and distorted certain facts” in collaboration with its silent partner, New York hedge fund Kingdon Capital Management. The report, that Hindenburg released in January 2023, disrupted Adani’s $2.5bn share sale and caused a $140bn market value loss. Hindenburg denied the allegations and called them “an attempt to silence and intimidate those who expose corruption and fraud perpetrated by the most powerful individuals in India.” After SEBI’s show-cause notice, penalties and market restrictions could follow.
https://www.ft.com/content/ae104fce-0576-4ff0-a7ec-a0eed7849e97