Amid ongoing controversy sparked by Hindenburg Research’s report, global investors are increasingly calling for the resignation of Securities and Exchange Board of India (SEBI) Chairperson Madhabi Puri Buch. The call comes in response to allegations that Buch and her husband had stakes in an offshore fund linked to the Adani Group, which allegedly inflated Adani stocks in the past.

Hindenburg Research, a known activist short-seller firm, claimed that the fund in question was also used by associates of Vinod Adani, the brother of Adani Group Chairman Gautam Adani. The allegations suggest that these connections could have been used to manipulate stock prices.

Veteran global investor Mark Faber has voiced strong support for Buch’s resignation, stating, “Some people associated with SEBI have a conflict of interest. We have to assume that these allegations are true. If they are true, then the people involved have to resign—there is no question about this.” Faber, who publishes ‘The Gloom, Boom & Doom Report,’ emphasized that such allegations, if verified, undermine the integrity of financial oversight institutions.

Economist and tech analyst Daniel Geltrude echoed these sentiments, warning that the alleged corruption involving offshore funds could severely impact investor confidence in India. Geltrude remarked, “If the chair of SEBI is actually linked to this situation, it’s going to destroy investor confidence in India. Offshore accounts always raise a red flag, and the situation where the chair of the security exchange board is implicated is extremely serious.”

Faber criticized both SEBI and the U.S. Securities and Exchange Commission (SEC) for allegedly favoring large business groups and investment banks over small investors. “They are not interested in the interests of small investors at all, but it is presented to the public as if they have the interest of the public in mind,” he said.

In response to the allegations, Madhabi Puri Buch and her husband Dhaval Buch issued a second statement denying the claims made by Hindenburg. They provided additional details about their investments, but Hindenburg has maintained its stance, accusing the couple’s new statement of containing “several important admissions” and raising “numerous new critical questions.”

As the controversy continues to unfold, the pressure on SEBI and its leadership is mounting, with global investors and market watchers closely monitoring the situation. The demand for Buch’s resignation reflects broader concerns about regulatory oversight and its impact on investor trust.