Adani Group Stocks Rally Ahead of Supreme Court Verdict on Fraud Allegations

Adani Group Stocks Rally Ahead of Supreme Court Verdict on Fraud Allegations

VoM News Desk | January 3, 2024 | 10:37 AM IST | Breaking News | Follow on Google News

Adani Group Stocks Rally Ahead of Supreme Court Verdict on Fraud Allegations

Adani Group Stocks Rally Ahead of Supreme Court Verdict on Fraud Allegations

On Wednesday, Adani Group stocks surged significantly in early trading sessions, leading up to the forthcoming Supreme Court verdict concerning petitions seeking an investigation into fraud accusations against Adani Group entities. This move follows claims outlined in the Hindenburg Research report.

Adani Enterprises, the flagship company, witnessed a nearly 6 per cent rise, while Adani Ports soared nearly 4 per cent, reaching its 52-week high of ₹1,117.10 on the BSE. Additionally, Adani Energy Solutions surged over 17 per cent, Adani Power hit a 5 per cent upper circuit at ₹544.65, and Adani Total Gas marked a 10 per cent surge. Adani Green Energy also showed a spike of nearly 9 per cent, and Adani Wilmar jumped by nearly 7 per cent. NDTV experienced a surge of almost 9 per cent, and Ambuja Cements reached a fresh 52-week high of ₹541.45 with a 2 per cent increase. Shares of ACC similarly climbed nearly 2 per cent.

The Supreme Court, led by Chief Justice D Y Chandrachud along with justices J B Pardiwala and Manoj Misra, is set to deliver the verdict on four petitions at 10:30 am.

These petitions are in response to allegations that the Adani Group, closely associated with the Modi government, artificially inflated its share prices. The short seller Hindenburg Research’s report led to a sharp decline in the share values of various group entities, prompting these legal proceedings.

In March 2023, the Supreme Court instructed SEBI to investigate potential violations of securities laws by the Adani Group based on the Hindenburg report. It also established an expert committee, headed by former top court judge Justice AM Sapre.

Gautam Adani, the billionaire behind the conglomerate, saw nearly $60 billion of his personal wealth diminish after the Hindenburg Research report accused his group of market manipulation and accounting fraud in January 2023. The report prompted a significant market downturn that wiped out close to $150 billion in the group’s market value. The Adani Group has refuted all allegations, and the Supreme Court had directed SEBI to investigate and provide its findings in response to these claims.

VoM News Desk

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