Lokpal has dismissed all complaints against former SEBI Chairperson Madhabi Puri Buch in the Hindenburg matter. It found the charges baseless, speculative, and lacking any credible evidence.
Today, On May 28, In a significant relief for former SEBI Chairperson Madhabi Puri Buch, the Lokpal of India has officially closed all complaints filed against her in connection with the Hindenburg Research matter.
The anti-corruption body found that the allegations made were based mostly on assumptions and lacked proper evidence, and thus did not merit any investigation.
The order issued by the Lokpal on May 28 clearly stated,
“We have concluded that the allegations in the Complaint(s) are more on presumptions and assumptions and not supported by any verifiable material and do not attract the ingredients of the offences in Part III of the Act of 1988, so as to direct and investigation therefor… accordingly, these complaints are disposed of.”
The complaints had alleged that Madhabi Puri Buch and her husband Dhaval Buch had invested large sums in a fund connected with Adani Group investments.
It was also alleged that Buch had received benefits under the pretext of consultancy fees from major companies like Mahindra & Mahindra (M&M) and Blackstone Inc., and also from Wockhardt under the guise of rental income.
Another accusation was that she had gained undue advantage by selling ICICI Bank employee stock options (ESOPs) between 2017 and 2024.
The complaints also raised concerns about her alleged pretense of recusal from matters related to M&M and Blackstone Inc.
However, the Lokpal found no substance in any of these allegations. In its detailed order, the anti-corruption body said,
“The Complainant(s) being conscious of this position advisedly attempted to articulate allegations independent of the stated report but the analysis of the allegations by us, ended with a finding that the same are untenable, unsubstantiated and bordering on frivolity.”
The Lokpal reviewed five major allegations in total and concluded that none of them had any factual basis. It criticized the complainants for making baseless allegations that seemed aimed at creating public noise rather than seeking justice.
The order firmly noted,
“The Complainant(s) by making such unverified and flimsy or fragile allegations, only to sensationalize or so to say politicize the matter, has inevitably trivialised the process before the Lokpal. It is nothing short of vexatious proceedings actionable under Section 46 of the Act of 2013. We say no more.”
Furthermore, the Lokpal pointed out that the complainants had failed to submit any solid evidence to support their claims. It warned against attempts to misuse the legal system by filing vague and speculative complaints.
The Lokpal conducted an oral hearing on December 19, allowing both sides to present their positions. Further documents and written submissions were later filed, and the case was again taken up for oral arguments on April 9.
the Lokpal noted in its order,
“The advocate for the complainant in the second complaint made exhaustive oral submissions. The proxy counsel appearing for the complainant in the third complaint opted to file written submissions. Although the complainant in the third complaint has been represented by an advocate, neither the complainant nor the advocate appeared to make oral submissions,”
Ms Buch was represented by a senior counsel who made elaborate oral arguments.
The Lokpal added,
“At the conclusion of the oral arguments parties were given time to file written note/response as requested by them, for consideration of the bench.”
The order strongly stated,
“… what the Complainant(s) are inviting us to do is to conduct a roving inquiry into the allegations which are unfounded, speculative and bordering on frivolity.”
The decision brings closure to the matter, clearing Madhabi Puri Buch of any wrongdoing in connection to the allegations.
Read Order:
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