look news india
Securities and Exchange Board of India (SEBI) chief Madhabi Puri Buch and her husband Dhaval Buch have been targeted by US short-seller Hindenburg Research in Report 2.0 against the Adani Group.
However, these allegations of Hindenburg do not seem to have any significant impact on the stock market. There is a discussion in the market that Hindenburg may target some more Indian and especially Indian companies working globally for its own benefit. Of course, Indian companies are also ready to face any such attack by American short sellers. In February this year, Indian-Canadian entrepreneur Prem Watsa's Fairfax Financial was attacked by American hedge fund Muddy Waters as a short seller. The company is listed on the Canadian market and also has significant investments in India. The company was accused of committing financial fraud and flipping its shares by 12 percent. Of course, the National Bank of Canada rejected such allegations. William J. Stelmach, former head of the fraud section of the US Justice Department and currently working in a law firm in New York, said that Indian companies with global operations should have crisis management plans as the number of short sellers has increased in recent times. He said, it is very difficult to bring short sellers under the purview of law in America. Short sellers always win legal battles in the US. At that time, he had specifically advised Indian companies operating globally that they should prepare an action plan on how to quickly do damage control in case their share prices fall if they are attacked by short sellers.
