13/03/2024, 13:39 Adani-Hindenburg : Newspaper Articles & OCCRP Report Not Conclusive Proof To Doubt SEBI Probe, Says

SEBI Probe, Says Supreme Court

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Adani-Hindenburg : Newspaper Articles & OCCRP

Report Not Conclusive Proof To Doubt SEBI Probe, Says
Supreme Court
Debby Jain
(/debby-jain)
3 Jan 2024 1:19 PM

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While declining to order an investigation by a Special Investigation Team (SIT) into

allegations levelled against the Adani Group in the Hindenburg Research report,
the Supreme Court on Wednesday (January 3) refused to accept the reports

https://www.livelaw.in/supreme-court/supreme-court-adani-hindenburg-independent-entities-reports-inputs-sebi-not-conclusive-proof-245736?infinitescroll=1 1/21
13/03/2024, 13:39 Adani-Hindenburg : Newspaper Articles & OCCRP Report Not Conclusive Proof To Doubt SEBI Probe, Says Supreme Court

published by newspapers and the Organized Crime and Corruption Reporting

Project (OCCRP).

The three-Judge bench of Chief Justice of India DY Chandrachud, Justices JB

Pardiwala and Manoj Misra observed that reports of independent groups or
investigative persons may act as inputs before the Securities and Exchange Board
of India (SEBI) or the Expert Committee, but cannot be relied upon as conclusive
proof to challenge adequacy of SEBI's investigation.

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quashing-criminal-proceedings-which-are-essentially-of-civil-nature-supreme-court-252076?
utm_source=internal-artice&utm_medium=also-read)

The Bench opined that reliance on newspaper articles and reports by third-party
organizations to question the comprehensive investigation by a specialised
regulator (like SEBI) does not inspire confidence.

"The reliance on newspaper articles or reports by third-party organizations to

question a comprehensive investigation by a specialised regulator does not inspire
confidence. Such reports by independent groups or investigative people by
newspapers may act as inputs before the SEBI or the Expert Committee. However,
they cannot be relied upon as conclusive proof of the inadequacy of the
investigation by SEBI. Nor can the petitioners say that such inputs be regarded as
credible evidence."

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It added that the petitioners could not be heard to say that inputs contained in
reports of independent groups or investigative persons be regarded as credible
evidence.

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13/03/2024, 13:39 Adani-Hindenburg : Newspaper Articles & OCCRP Report Not Conclusive Proof To Doubt SEBI Probe, Says Supreme Court

"The veracity of the inputs and their sources must be demonstrated to be

unimpeachable. The petitioners cannot assert that an unsubstantiated report in
the newspaper should have precedence over an investigation by a statutory
regulator whose investigation has not been cast into doubt on the basis of cogent
material or evidence," observed the Bench.

Also Read - HC's Order 'Smacks of Arbitrariness and Perversity', Supreme Court Sets Aside
Allahabad HC's Order Passed Without Hearing Parties (/supreme-court/hcs-order-smacks-of-
arbitrariness-and-perversity-supreme-court-sets-aside-allahabad-hcs-order-passed-without-
hearing-parties-251982?utm_source=internal-artice&utm_medium=also-read)

Other reports about the judgment can be read here.

(https://www.livelaw.in/tags/vishal-tiwari-v-union-of-india-adani-hindenburg-final-
order)

Case Title : Vishal Tiwari v. Union of India W.P.(C) No. 162/2023 and connected
cases.

Citation : 2024 LiveLaw (SC) 2

Click here to read the judgment

(https://www.livelaw.in/pdf_upload/535420231150149132judgement03-jan-2024-
513574.pdf)

Tags CJI DY Chandrachud (https://www.livelaw.in/tags/cji-dy-chandrachud)

Justice JB Pardiwala (https://www.livelaw.in/tags/justice-jb-pardiwala)

Justice Manoj Misra (https://www.livelaw.in/tags/justice-manoj-misra)

Adani-Hindenburg Row (https://www.livelaw.in/tags/adani-hindenburg-row)

SEBI (https://www.livelaw.in/tags/sebi)

Vishal Tiwari v Union of India (Adani-Hindenburg Final Order)

(https://www.livelaw.in/tags/vishal-tiwari-v-union-of-india-adani-hindenburg-final-order)

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