Congress Questions SEBI's Action on Insider Trading Allegations Against Pranav Adani
Congress Raises Concerns Over SEBI's Investigation
On Saturday, the Congress party questioned whether the Securities and Exchange Board of India (SEBI) would take action regarding its allegations of insider trading involving Pranav Adani, who serves as a director for multiple companies within the Adani Group.
A report released the previous day indicated that SEBI had accused Adani of disclosing confidential information about the acquisition of SB Energy India to his brother-in-law, Kunal Shah, prior to the public announcement of the deal in 2021. This action is said to have breached regulations designed to prevent insider trading.
Jairam Ramesh, the General Secretary of Congress, expressed skepticism about SEBI's intentions, asking whether the regulatory body would once again allow the Prime Minister’s favored business group to evade serious consequences or if it would pursue the case rigorously.
Ramesh highlighted that the public is still awaiting the conclusion of SEBI's investigation into the Adani Group's alleged violations of 24 securities laws, noting that it has been 26 months since the Supreme Court instructed the agency to finalize its inquiry following disclosures made by Hindenburg Research, a short-selling firm based in the United States.
He further pointed out that the U.S. Securities and Exchange Commission (SEC) has been more proactive in its investigations, having received evidence that Gautam Adani and seven associates allegedly offered bribes totaling Rs 2,000 crore to Indian officials to secure solar power contracts that could have generated profits exceeding Rs 16,000 crore.
Ramesh criticized the Modi administration for not cooperating with the SEC in delivering a summons to Gautam Adani.
The Modani Matter simply refuses to go away.
— Jairam Ramesh (@Jairam_Ramesh) May 3, 2025
Recently Gautam Adani’s nephew - who is a director in several Adani Group companies - has been accused of insider trading by sharing unpublished, price-sensitive information with his brother-in-law which resulted in “ill-gotten… pic.twitter.com/zMi7i6P9Va
In 2024, Pranav Adani received a notice from SEBI regarding the insider trading allegations. The regulator claimed that Kunal Shah and his brother, Nrupal Shah, had traded shares of Adani Green, resulting in illicit profits of Rs 91.1 lakh.
Adani Green had previously announced its acquisition of SB Energy India in May 2021 for $3.5 billion, marking a significant milestone in the country's renewable energy sector.
In light of the Reuters report, Pranav Adani stated that he is seeking to resolve the charges to bring closure to the issue, asserting that he has not breached any securities laws.