A Special Court Orders FIR Against Ex-SEBI Chief Madhabi Puri Buch
Mumbai, Mar 2 (PTI) – A special court in Mumbai has taken a significant step by directing the Anti-Corruption Bureau (ACB) to register a First Information Report (FIR) against former Securities and Exchange Board of India (SEBI) chairperson Madhabi Puri Buch and five other officials. This order comes amid allegations of stock market fraud and regulatory violations, marking a critical moment in India’s financial regulatory framework.
Allegations and Court Findings
Judge Shashikant Eknathrao Bangar noted that there is prima facie evidence of regulatory lapses and collusion among the accused, necessitating a thorough investigation. The court emphasized that the matter has disclosed a cognizable offence, stressing the need for judicial intervention due to the inaction from law enforcement agencies and SEBI itself.
Who is Involved?
Alongside Buch, the FIR will also target key figures including Sundararaman Ramamurthy, the Managing Director and CEO of the Bombay Stock Exchange (BSE), former chairman Pramod Agarwal, and SEBI members Ashwani Bhatia, Ananth Narayan G, and Kamlesh Chandra Varshney. The court is set to monitor the investigation and has requested a status report within 30 days.
The Complainant’s Perspective
The allegations arose from a media reporter who claimed that the accused facilitated market manipulation by allowing a fraudulent company to list on the stock exchange without adhering to the SEBI Act, 1992. The complainant asserted that despite numerous attempts to alert authorities, no action was taken, prompting the need for judicial involvement.
Madhabi Puri Buch’s Tenure
India’s first woman SEBI chief, Buch, recently completed her three-year tenure amidst controversies, including allegations of conflict of interest by the US-based short-seller Hindenburg. Despite her efforts to enhance market regulations, her last year was marred by significant scrutiny and internal disputes regarding workplace culture.
As the investigation unfolds, the implications for both the individuals involved and India’s regulatory landscape remain to be seen. For those interested in staying updated on financial news and trends, visit Looffers.com for the latest insights and developments.
