Adani row rages, Opp slams BJP; demands SC-monitored probe

NT Correspondent

New Delhi: The Adani stock market crash triggered a roaring controvery in both Houses of parliament on Thursday which were adjourned for the day after the Opposition stalled proceedings demanding a JPC or a Supreme Court-monitored probe into the allegations of fraud and manipulation against billionaire Gautam Adani's companies.

The market losses of the Adani Group have risen to nearly USD 103 billion (about Rs 8.5 lakh crore). A united opposition, led by the Congress, raised the issue as soon as the Houses commenced for the day with their MPs giving adjournment notices for a discussion on the issue.

Lok Sabha Speaker Om Birla denied the request for discussion, asking members to "not to make unsubstantiated claims" while Rajya Sabha chairperson, Vice President Jagdeep Dhankhar, rejected notices, saying they were "not in order".

Adani Group stocks have taken a beating on the bourses after the US short-seller Hindenburg Research made a litany of allegations last week in its report, including fraudulent transactions and share price manipulation at the Gautam Adani-led group, which has denied the charges.

Congress president and Leader of Opposition in Rajya Sabha Mallikarjun Kharge led the charge in the upper house, with nine MPs of various parties giving notices under rule 267 seeking suspension of the day's business to discuss the Adani-Hindenburg issue. Kharge told reporters that the opposition parties have also called for day-to-day reporting of the JPC or the SC-monitored probe into the issue as it concerned public money invested in Adani stocks.

The Adani group has denied all charges and called the report malicious and full of lies and termed it a "calculated attack" on India, its institutions and its growth story. It said the report was driven by "an ulterior motive" to "create a false market" to allow the US firm to make financial gains.

Hindenburg has rejected Adani's charge and has stood by the allegations made in the research report. Tweeting on the issue, Congress General Secretary incharge Communications Jairam Ramesh said,"the Adani issue does certainly warrant an investigation by SEBI & RBI. He also said,"Modi Sarkar is clearly cornered on the Adani issue."

The Opposition protest came a day after Adani Enterprises recalled its full-subscribed Rs 20,000-crore Follow-on Public Offer (FPO) and said it will return the proceeds to investors. West Bengal Chief Minister Mamata Banerjee alleged that the BJP was using people's money deposited with the LIC and nationalised banks to benefit some of its party leaders.