Archives for November 2023

New Delhi: A plea has been filed in the Supreme Court for initiation of contempt proceedings against the Securities and Exchange Board of India (SEBI), alleging it has violated the timeline for completing the investigation and submitting its report on the allegations of stock price manipulation by the Adani group.

An application has been filed by PIL petitioner Vishal Tiwari saying that despite the deadline given to the SEBI it has failed to comply with the direction of the court and has not submitted the final conclusion/report as was directed by the court.

It said by the order dated May 17, 2023, the apex court directed SEBI to submit its report till August 14, 2023. It said on August 25, 2023, SEBI filed the status report regarding its investigation stating that overall it has done 24 investigations, out of which 22 investigations have achieved finality and two are of interim nature.

The application also referred to the latest report by the Organised Crime and Corruption Reporting Project (OCCRP) against the Adani Group and its alleged investments via “opaque” Mauritius funds.

The application said that the primary focus of the PIL was on what steps shall be taken in future to strengthen the regulatory system so that the investors could be protected and their investment in the share market remains safe.

“Because after the publication of the Hindenburg report against the Adani Group …. thousands of crores of the investors’ money got lost.

“But now the question arises, whether the present regulatory authority is efficient enough or if some changes are required by setting up a new regulatory body with a more efficient mechanism so that in future such damaging incidents may not occur in the share market and the investors’ money may be protected,” it said.

Tiwari in his application said that a strong mechanism is also required to keep vigil upon the companies’ conduct and practises – whether they are complying with necessary rules and regulations laid down by the regulatory authority.

“That till now after the recommendations and suggestions given by the expert committee in its report the Union Government has not taken any strong step in compliance of that and has not apprised the court with any secured framework for the protection of investors in future,” it said.

Tiwari said that SEBI in its application has objected to the suggestion of a necessary timeline for the completion of the investigation.

“The SEBI objection is contrary to the present need of a strong and efficient regulatory mechanism because timeless investigations lead to the disappearance of evidence and vital information against any entity which is under investigation and it also reduces the confidence of the investors in the market,” it said, adding that SEBI failed to file its report despite timeline fixed by the court till August 14.

“The inordinate delay in investigation impacts upon investigation and it also raises suspicion in the minds of investors and refrains them from investing in future. Delay in the investigation also leads to the manipulations and damage of vital material and evidence,” it said.

The application said that the expert committee constituted by this court is still working in the present matter and has not been discharged.

“As the issue has again risen by the new disclosures and report of Organised Crime and Corruption Reporting Project (OCCRP) against Adani Group, the need has arisen to get it investigated by the independent body which was constituted by this court,” the application said.

It said an explanation should be sought from SEBI for not complying with the timeline framed by this court in the order dated May 17, 2023 for completing the investigation and submitting a report.

On November 6, the top court said the apex court registry would look into the issue of listing for hearing PILs related to allegations of stock price manipulation by the Adani group.

On July 11, the top court asked the SEBI about the status of its ongoing investigation into the allegations of stock price manipulation by the Adani group.

The court, which had granted time till August 14 for a probe by the SEBI, had said the inquiry has to be concluded expeditiously.

Later, the capital markets regulator filed a status report on the Adani-Hindenburg probe and said it was awaiting information from tax havens.

The SEBI, in its report, had said that it has completed the probe in all but two allegations against the Adani group and is still awaiting information from five tax havens on actual owners behind foreign investors investing in the conglomerate.

The report said out of the 24 matters it was probing, findings in as many as 22 are final.

Without divulging the outcome of its investigations, the SEBI had given a detailed breakdown of the steps taken by it during its probe, including related party transactions.

“SEBI shall take appropriate action based on the outcome of the investigations in accordance with law,” the regulator had said.

The probe reports finalised include allegations of manipulation of stock prices, alleged failure to disclose transactions with related parties and possible violation of insider trading in some of the group stocks.

On May 17, the apex court granted SEBI time till August 14 to complete its probe into the allegations of stock price manipulation by the Adani group.

A Supreme Court-appointed expert committee had in an interim report in May stated that it saw “no evident pattern of manipulation” in billionaire Gautam Adani’s companies and there was no regulatory failure.

It, however, cited several amendments the SEBI made between 2014 and 2019 that constrained the regulator’s ability to investigate, and its probe into alleged violations in money flows from offshore entities has “drawn a blank”.

The apex court had on May 17 directed that copies of the report submitted before it by the top court-appointed Justice (retd) A M Sapre expert committee be made available to the parties to enable them to assist it in further deliberations in the matter.

Adani Group stocks had been bludgeoned on the bourses after Hindenburg Research made a litany of allegations, including those about fraudulent transactions and share-price manipulation, against the business conglomerate.

The Adani Group dismissed the charges as lies, saying it complies with all laws and disclosure requirements.

Kadaba: An electricity pole installed near the junction of the Kadaba-Panja Road at Kodimbala early Sunday morning broke and fell as an SUV hit it after the driver lost control over the vehicle.

Three people in the SUV, including a child, have sustained injuries but escaped danger. The SUV has been damaged in the accident that occurred when they were traveling to Dharmasthala.

The locals and eye-witnesses, who were nearby, rushed to the help of the people traveling in the vehicle on Sunday morning.

New Delhi: New challenges are emerging from the incidents in West Asia and it is time for the countries of the Global South to talk in one voice for greater global good, Prime Minister Narendra Modi said on Friday amid the Hamas-Israel conflict.

In his address at the second edition of the India-hosted virtual Voice of Global South Summit, Modi said New Delhi has emphasised on dialogue and diplomacy along with restraint to deal with the situation arising out of the Hamas-Israel conflict.

India condemned the barbaric October 7 terrorist attack on Israel, he said

At the same time, the prime minister said India strongly condemned the death of civilians in the conflict between Israel and Hamas.

“We are seeing that new challenges are emerging from developments in West Asia,” he said.

India hosted the first edition of the ‘Voice of Global South Summit’ in January to flag concerns and challenges facing the developing countries.

“The Voice of Global South is the most unique platform reflecting the changing world of the 21st century,” Modi said.

The prime minister also called for cooperation under the framework of ‘five Cs’ — consultation, communication, cooperation, creativity, capacity building.

“I cannot forget that historic moment, when African Union was inducted into G20 as a permanent member with India’s efforts,” he said.

In a significant milestone under India’s G20 presidency, the African Union in September became the new permanent member of the grouping of the largest economies of the world in the first expansion of the influential bloc since its inception in 1999.

Listing achievements for the Global South under India’s G20 presidency, Modi said significant seriousness was shown this time on climate finance. There was consensus at G20 on providing finance and technology in easy terms to countries of the Global South for climate transition, he said.

India considers that new technology should not increase distance between Global South and North, he said.

Polling began Friday morning for assembly elections in Madhya Pradesh, where 2,533 candidates, including Chief Minister Shivraj Singh Chouhan and his predecessor Kamal Nath, are in the fray for 230 assembly seats in a largely straight contest between the ruling BJP and the opposition Congress.

Top leaders crisscrossed the state, addressing rallies, holding road shows, trading charges, and making a slew of promises to seek votes for their candidates.

Chief Minister Shivraj Singh Chouhan is contesting from Budhni and state Congress president Kamal Nath from Chhindwara.

The electioneering saw Prime Minister Narendra Modi, Union Home Minister Amit Shah, BJP president JP Nadda, Union Minister Rajnath Singh, and Chouhan, among others, address rallies to drum up support for the saffron party nominees.

Congress president Mallikarjun Kharge and party leaders Rahul Gandhi, Priyanka Gandhi-Vadra, Nath, and Digvijaya Singh, among others, addressed rallies to seek support for their party nominees.

Modi made nine visits to the state and addressed 14 public meetings after the elections were announced. The BJP is heavily banking on his charisma to retain power.

A look at the constituency:

• The single-phase voting covering all 230 assembly seats—47 of them reserved for Scheduled Tribes and 35 for Scheduled Castes—has more than 5.6 crore registered electors.
• Inputs from ground zero suggest that the Gwalior-Chambal, Vindhya, and Bundelkhand regions may ultimately hold the key to who comes to power, despite the communally sensitive Malwa-Nimar region housing a maximum of 66 seats.
• Opinion polls in the recent past have been predicting a close race between both the main players (with an edge to the Congress).
• In 2018, Congress emerged as the largest party, winning 114 seats and forming the government with the support of the Bahujan Samaj Party (BSP) and the Samajwadi Party (SP).

Kochi: The Kerala High Court has issued instructions for eateries to display the date and time of food preparation on packaging, particularly focusing on the popular dish ‘Shawarma’. The directive comes in response to a petition filed by the mother of a 16-year-old who lost her life in 2022 after consuming Shawarma.

Justice Devan Ramachandran, while addressing the plea, emphasized the need for public awareness regarding the importance of consuming such food items within a specified timeframe. The court directed the issuance of instructions to eateries to prominently exhibit the date and time of food preparation on packaging, whether served over the counter or through parcels.

The Food Safety Commissioner, Afsana Parveen, informed the court that consuming Shawarma beyond the recommended timeframe was a significant cause of accidents. She reported that ‘Shawarma Guidelines’ had been issued in September 2022, accompanied by an ‘Order of Ban’ in January 2023. Regular enforcement drives and inspections were conducted, resulting in notices and orders issued to eateries concerning parcel labeling and the mandatory mention of the specific date and time of manufacture.

Despite the ban on using raw eggs in the production and storage of mayonnaise, the court noted an incident of death due to Shawarma consumption after the ban’s issuance. The court acknowledged the Food Safety Commissioner’s efforts but emphasized the importance of making eateries and consumers aware of the potential risks.

The court decided to maintain the writ petition on file to monitor the implementation of orders, regulations, and circulars in the interest of public safety. In response to the petitioner’s allegations, the court directed the respondents to file a counter affidavit outlining their response, along with details of guidelines, orders, regulations, and actions taken against the eatery in question.

The court had initiated a suo motu case after the 16-year-old’s death and hospitalization of over 50 individuals linked to Shawarma consumption. The mother, seeking compensation of Rs. 1 Crore and strict compliance with the Food Safety and Standards Act, 2006, filed the present plea.

The case will be further considered on December 5.