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Adani row: Opposition leaders name out ED’s inaction in criticism letter

6 min read

Express News Service

NEW DELHI: In a criticism addressed to the Director of the Enforcement Directorate (ED), leaders of 18 Opposition events demanded an intensive probe into the New York-based brief vendor Hindenburg Research’s report, which accused the Adani group of inventory worth manipulation and fraud.

The criticism to the ED was launched to the media shortly after the Delhi Police stopped a march taken out by 18 Opposition events to the company’s headquarters to submit it.

“Over the last three months, several crucial pieces of evidence have been made available against the Adani Group in the public domain. Yet, the ED, which claims to pursue such cases with vigour and fairness has to launch even a preliminary inquiry into these very serious charges. We are constrained to file this official complaint so that the ED is compelled to investigate a relationship that has serious implications not just for our economy but most importantly, our democracy,” mentioned the letter written by Mallikarjun Kharge, Leader of Opposition in Rajya Sabha. 

Soon after the march started from Parliament this afternoon, the Parliamentarians had been stopped by a big contingent of Police. Though many leaders tried to barter with the police to allow them to meet the ED Director in small teams, the police didn’t relent.

Speaking to the media, Congress chief Pramod Tiwari mentioned that the members are returning to Parliament as they’re informed that the ED Director was unwilling to fulfill the MPs.

ALSO READ | Adani row: Opposition MPs name off protest march after Delhi police blockade

Calling the allegations ‘serious and far-reaching charges of corporate fraud’, the criticism mentioned, “This case involves stock-price manipulation through fraudulent means and the misuse/monopolization of public resources to benefit a single corporate group.”

Trinamool Congress was lacking from the checklist of signatories of the letter and its members didn’t attend the march. 

Reminding the ED that it can’t flip round and abdicate its jurisdiction, the letter mentioned “charges related to accounting fraud, the dubious nature of how the Follow-On Public Offer was manipulated behind the scenes, the shocking similarity with Adani’s previous actions for which they have been investigated by your predecessors, are all available in the public domain.” 

“We are acutely aware of how in the recent past, the ED has also zealously pursued cases of alleged political favouritism including sharing concurrent jurisdiction with SEBI and CBI. We are also aware of the limited remit of the Supreme Court Commission appointed on the subject,” it mentioned.  

In the letter, the leaders level out that the Adani Group firms are accused of getting established a community of offshore shell firms and offshore funds managed by events associated to the Adani Group for (1) artificially inflating inventory valuations and (2) to present a distorted image concerning the group firms’ monetary well being.

ALSO READ | Now, Opposition MPs assault Centre over Adani involvement in defence sector

“Data available in the public domain actively lists 38 Mauritius shell entities controlled by the Adani group through Vinod Adani or close associates; as well as other entities in Cyprus, the UAE, Singapore, and several Caribbean Islands. The purpose of these entities was to “round trip” cash into the Adani firms for the aforementioned causes,” it mentioned.

The letter says that Vinod Adani, Gautam Adani’s brother, is alleged to have performed a key half in organising networks that create a causal hyperlink between the off-shore entities and Adani’s Indian firms. 

“These actions are also patently illegal since they violate the basic rule that at least 25% of free float be held by non-promoter entities,” the letter mentioned, including, “It is surprising that despite all of the above, the ED has shown little to no interest in pursuing a basic investigation into the entities’ affairs,”.

The letter additionally listed a number of different allegations towards the group, which had been out there within the public area, mentioned the leaders.

NEW DELHI: In a criticism addressed to the Director of the Enforcement Directorate (ED), leaders of 18 Opposition events demanded an intensive probe into the New York-based brief vendor Hindenburg Research’s report, which accused the Adani group of inventory worth manipulation and fraud.

The criticism to the ED was launched to the media shortly after the Delhi Police stopped a march taken out by 18 Opposition events to the company’s headquarters to submit it.

“Over the last three months, several crucial pieces of evidence have been made available against the Adani Group in the public domain. Yet, the ED, which claims to pursue such cases with vigour and fairness has to launch even a preliminary inquiry into these very serious charges. We are constrained to file this official complaint so that the ED is compelled to investigate a relationship that has serious implications not just for our economy but most importantly, our democracy,” mentioned the letter written by Mallikarjun Kharge, Leader of Opposition in Rajya Sabha. googletag.cmd.push(operate() googletag.show(‘div-gpt-ad-8052921-2’); );

Soon after the march started from Parliament this afternoon, the Parliamentarians had been stopped by a big contingent of Police. Though many leaders tried to barter with the police to allow them to meet the ED Director in small teams, the police didn’t relent.

Speaking to the media, Congress chief Pramod Tiwari mentioned that the members are returning to Parliament as they’re informed that the ED Director was unwilling to fulfill the MPs.

ALSO READ | Adani row: Opposition MPs name off protest march after Delhi police blockade

Calling the allegations ‘serious and far-reaching charges of corporate fraud’, the criticism mentioned, “This case involves stock-price manipulation through fraudulent means and the misuse/monopolization of public resources to benefit a single corporate group.”

Trinamool Congress was lacking from the checklist of signatories of the letter and its members didn’t attend the march. 

Reminding the ED that it can’t flip round and abdicate its jurisdiction, the letter mentioned “charges related to accounting fraud, the dubious nature of how the Follow-On Public Offer was manipulated behind the scenes, the shocking similarity with Adani’s previous actions for which they have been investigated by your predecessors, are all available in the public domain.” 

“We are acutely aware of how in the recent past, the ED has also zealously pursued cases of alleged political favouritism including sharing concurrent jurisdiction with SEBI and CBI. We are also aware of the limited remit of the Supreme Court Commission appointed on the subject,” it mentioned.  

In the letter, the leaders level out that the Adani Group firms are accused of getting established a community of offshore shell firms and offshore funds managed by events associated to the Adani Group for (1) artificially inflating inventory valuations and (2) to present a distorted image concerning the group firms’ monetary well being.

ALSO READ | Now, Opposition MPs assault Centre over Adani involvement in defence sector

“Data available in the public domain actively lists 38 Mauritius shell entities controlled by the Adani group through Vinod Adani or close associates; as well as other entities in Cyprus, the UAE, Singapore, and several Caribbean Islands. The purpose of these entities was to “round trip” cash into the Adani firms for the aforementioned causes,” it mentioned.

The letter says that Vinod Adani, Gautam Adani’s brother, is alleged to have performed a key half in organising networks that create a causal hyperlink between the off-shore entities and Adani’s Indian firms. 

“These actions are also patently illegal since they violate the basic rule that at least 25% of free float be held by non-promoter entities,” the letter mentioned, including, “It is surprising that despite all of the above, the ED has shown little to no interest in pursuing a basic investigation into the entities’ affairs,”.

The letter additionally listed a number of different allegations towards the group, which had been out there within the public area, mentioned the leaders.