India’s markets regulator, the Securities and Exchange Board of India (SEBI), has given a clean chit to Gautam Adani, Rajesh Adani, and key group companies – including Adani Ports & SEZ, Adani Power, and Adicorp Enterprises – of serious allegations raised by US-based short seller Hindenburg Research. Following SEBI’s clean chit, Gautam Adani said the regulator had “reaffirmed” what the group had consistently maintained – that the claims made by Hindenburg were “baseless.”
Gautam Adani Reacts To SEBI Clean Chit
“After an exhaustive investigation, SEBI has reaffirmed what we have always maintained, that the Hindenburg claims were baseless,” Adani wrote on X. He added, “Transparency and integrity have always defined the Adani Group.”
He expressed empathy for investors who suffered losses, attributing the financial impact to what he described as a “fraudulent and motivated” report.
After an exhaustive investigation, SEBI has reaffirmed what we have always maintained, that the Hindenburg claims were baseless. Transparency and integrity have always defined the Adani Group.
We deeply feel the pain of the investors who lost money because of this fraudulent… pic.twitter.com/8YKeEYmmp5
— Gautam Adani (@gautam_adani) September 18, 2025
“We deeply feel the pain of the investors who lost money because of this fraudulent and motivated report. Those who spread false narratives owe the nation an apology,” he said.
Adani concluded, “Our commitment to India’s institutions, to India’s people, and to nation building remains unwavering.”
What SEBI Order Said On Gautam Adani And Hindenburg Report
In two separate orders, SEBI found no evidence of insider trading, stock price manipulation, or violations of minimum public shareholding requirements. The regulator confirmed that none of the allegations in its show-cause notice were substantiated, and therefore, no penalties or further action were warranted.
The orders further stated that there was no diversion of funds, no siphoning of money, and no indication that Gautam Adani, Rajesh Adani, or CFO Jugeshinder Singh attempted to conceal information.
“Having considered the matter holistically, I find that the allegations made against Noticees (Adani group firms and officials) in the show-cause notice (SCN) are not established. Considering the above, the question of devolvement of any liability on Noticees does not arise, and hence the question of determination of quantum of penalty also does not require any deliberation,” wrote SEBI whole-time member Kamlesh Varshney.
He added, “I hereby dispose of the instant proceedings against Noticees without any direction.”
What Was In Hindenburg Report Against Adani Group?
On January 24, 2023, Hindenburg Research published a 106-page report accusing the Adani Group of orchestrating “the largest corporate fraud in history.” The report alleged stock manipulation, accounting irregularities, and the use of offshore shell companies to artificially inflate share prices.
It also raised concerns about public shareholding norm violations, high debt levels, and related-party transactions. Hindenburg claimed that entities such as Adicorp Enterprises Pvt Ltd, Milestone Tradelinks Pvt Ltd, and Rehvar Infrastructure Pvt Ltd were used to route funds from various group companies to listed firms like Adani Enterprises Ltd and Adani Power Ltd.
“Despite Adicorp Enterprises’ modest financial profile, four Adani Group companies lent the company a total of Rs 620 crore ($87.4 million) in 2020. We found no disclosure of these transactions in the financial statements of the Adani Group lenders, several of which are publicly listed,” the Hindenburg report stated.
Adani Stocks Surge Post SEBI Clean Chit
Following SEBI’s clearance, Adani Group stocks saw a notable rebound. Shares rose between 1% and 10% on the day after the regulator’s announcement.
Adani Total Gas Ltd led the gains, climbing as much as 19%, while flagship Adani Enterprises Ltd. increased 4.3% intraday. Adani Power Ltd. rose 7.4% after Morgan Stanley initiated coverage with an “overweight” rating. Adani Ports & SEZ Ltd. gained 2%, and Adani Green Ltd. and Adani Energy Solutions Ltd. each rose nearly 4%.
Zubair Amin is a Senior Journalist at NewsX with over seven years of experience in reporting and editorial work. He has written for leading national and international publications, including Foreign Policy Magazine, Al Jazeera, The Economic Times, The Indian Express, The Wire, Article 14, Mongabay, News9, among others. His primary focus is on international affairs, with a strong interest in US politics and policy. He also writes on West Asia, Indian polity, and constitutional issues. Zubair tweets at zubaiyr.amin
