Ajit Karn
Mukul Rohatgi, a prominent legal expert, applauded the Supreme Court’s decision to appoint a committee to investigate the Hindenburg-Adani dispute, which has wiped out hundreds of crores in investor funds. The Congress has criticised the decision, insisting that a Joint Parliamentary Committee is the best course of action in this situation. The Trinamool Congress, Uddhav Thackeray faction of the Shiv Sena and Arvind Kejriwal’s Aam Aadmi Party have expressed support for the court’s decision.
Adani Group CEO Gautam Adani has already praised the initiative of the apex court, tweeting that “the truth will triumph.” Mr Rohatgi expressed concern that the establishment of a Joint Parliamentary Committee will only lead to a “political slugfest”.
In an exclusive interview with News Channel, Mukul Rohatgi stated, “Rather than having a Joint Parliamentary Committee and turning it into a political brawl, the objective is to examine the system’s flaws and close the gaps.”
Last month, the shares of the conglomerate Adani plummeted after the US-based short selling firm Hindenburg Research accused the company of financial malfeasance and stock manipulation. The Adani Group has vehemently refuted the allegations, characterising Hindenburg’s report as a “calculated assault” on India.
Earlier on Thursday, the Supreme Court appointed a six-member commission to investigate investor protection mechanisms. The committee will include veteran financiers KV Kamath and OP Bhat, Infosys co-founder Nandan Nilekani, and retired Justice JP Devdhar. The committee will be led by retired judge Abhay Manohar Sapre.
“I believe it is appropriate not because of Mr. Adani, but because there are millions of shareholders and bondholders who support specific large companies. If they have been harmed, the court’s concern is entirely warranted “Mr Rohatgi said.
Mr. Rohatgi stated that the selection of names is “exemplary” and that the committee’s mandate is “extensive and all-encompassing.” “It is appropriate to instill confidence in the market and market participants,” he added.
According to a bench led by the Chief Justice of India, DY Chandrachud, the committee is anticipated to provide an overall assessment of the situation, suggest measures to increase investor awareness, and help strengthen extant regulatory measures for stock markets.
The investigation by market regulator SEBI (Securities and Exchange Board of India) will continue concurrently and should be completed within two months, the court said.
Senior attorney Raian Karanjawala, who represents the Adani Group in multiple cases, also applauded the committee’s formation.
“It is a brilliant choice. The committee meets all the standards that any committee could have met. It has individuals with high international credentials. The Supreme Court could not have selected a more qualified committee “he said.
He added that he anticipates it to be a “action-oriented committee” that will make “direct” recommendations. “Some part of it might be made public too. People’s expectations will be met,” he added.
Also read: Adani Promoters Raise Rs 15,446 Crore From GQG Partners By Selling Stakes In Group Firms
The opposition is divided on the committee issue, with the Trinamool Congress, Uddhav Thackeray, and Arvind Kejriwal’s Aam Aadmi Party praising the Supreme Court’s decision. The opposing side consists of the Congress and its ally DMK. The Labor parties are in a mode of observation.
Throughout the budget session, opposition parties demanded a Joint Parliamentary Committee investigation into the matter, which repeatedly stalled the legislature.
