Rahul Gandhi has warned of risks in the Indian stock market after a recent Hindenburg Research report. “If the umpire himself is corrupt, the fairness of the match and the outcome are in question,” he said in reference to allegations against Securities and Exchange Board of India (SEBI) chairman Madhabi Puri Book.
Reference to Hindenburg report
Hindenburg Research has accused the SEBI chairman of being reluctant to take action against the Adani Group, possibly because he has stakes in an offshore fund linked to the Adani Group. Following the report, Rahul Gandhi raised the question that if investors lose their money, who will be responsible for it—Prime Minister Modi, SEBI chairman, or Gautam Adani?
“SEBI’s integrity has been seriously damaged,” Gandhi said. He also asked why Madhabi Puri Book has not resigned yet. His statement shows that he is insisting on the accountability of the government and wants a thorough investigation of the matter.
Rahul Gandhi gave the example of cricket on this issue and said that “if the umpire himself is corrupt, then the fairness of the game is questioned.” This comparison shows that when the fairness of the umpire in a game is questionable, then the result of the game is also affected. Similarly, when the fairness of SEBI is questioned, the confidence of investors also wavers.
Investors’ confidence
Rahul Gandhi also said that this is a serious warning for small retail investors investing in the Indian stock market. He said that if the integrity of SEBI is compromised, it is not only risky for investors, but it can also affect the entire economic system.
He also said that “If investors lose their hard-earned money, who will be responsible for this?” This question is not only political, but it is also important for economic stability.
Role of Adani Group and SEBI
Hindenburg had earlier also accused Adani Group of financial irregularities, following which Adani Group’s share prices fell sharply. Adani Group has rejected these allegations and said that there is no business relationship between them and the SEBI chairman.
In this context, Rahul Gandhi also said that “Why is Prime Minister Modi afraid of a Joint Parliamentary Committee (JPC) inquiry?” This question shows that Gandhi is questioning the transparency and accountability of the government.
This statement of Rahul Gandhi is an important warning to investors in the Indian stock market. Unless the integrity of SEBI is ensured, investor confidence may be shaken.
