A day after launching a salvo at Sebi Chairperson Madhabi Puri Buch, the Indian National Congress (INC) levelled fresh allegations against her, providing more details about her past association with ICICI Bank. Demanding urgent clarification from Buch, the market regulator, and the Centre, Congress spokesperson Pavan Khera reiterated that the matter needs to be thoroughly investigated.
Here are key takeaways from the INC press conference on September 3 in which the INC levelled more allegations against the Sebi chief:
- We unearthed a range of serious issues yesterday, demanding response from PM, Sebi as well as ICICI Bank
- We received response from one of the three
- ICICI Bank has said that it granted retirement benefits to Buch, which cements the serious questions already raised by INC
- Howcome the pension amount is changing every year?
- Payments stopped for one year and then again started in 2016
- From 2007 to 2014, she drew an average annual salary of Rs 1.3 crore and an average pension of Rs 2.77 crore
- We found this information after conducting thorough research after receiving ICICI Bank’s response on the matter
- Hopefully Buch will look at this table and respond
(This table was presented by the INC at the briefing)
On Monday, the main opposition party, often referred to as the ‘grand old party’, took aim at Buch with a series of allegations. They claimed that her acceptance of salary and ESOPs from ICICI Bank while serving as a full-time Sebi member was in violation of regulatory board rules.
Buch took over as Chairperson of Sebi in March 2022, having previously served as a whole-time member of the regulator since April 2017.
The matter relates to an August 10 report by US-based short-seller Hindenburg Research alleging that the Buch and her husband Dhaval Buch previously held investments in offshore funds also used by the Adani Group, charges categorically denied by the couple. The report also suggested a potential conflict of interest in her investigations into the conglomerate due to these investments.
Meanwhile, many financial experts have raised serious concerns about Buch’s conduct during her tenure at Sebi. Last month, former Finance Secretary SC Garg stated in an exclusive interaction with Zee Business that Buch should step down, as the recent turn of events is “not good for the reputation” of the country’s market regulator. In his view, the government should investigate the matter closely.
Several foreign investors have also expressed concerns. Among them, eminent business and tech analyst and economist Daniel Geltrude said that the allegations “can destroy investor confidence.” “Corruption involving offshore funds can erode foreign inflows,” he added last month.
