ದಿ ಹಿಂದೂ ಸಂಪಾದಕೀಯ “Step down: On upholding the integrity of SEBI” ಬಳಸಲಾದ Idioms and Phrases

ದಿ ಹಿಂದೂ ಸಂಪಾದಕೀಯ “Step down: On upholding the integrity of SEBI” ಬಳಸಲಾದ Idioms and Phrases

Not since the Harshad Mehta scam of 1992 has India’s securities regulations and oversight come under such scrutiny. The Securities and Exchange Board of India (SEBI), which was established as a statutory body that year — it was constituted as a non-statutory body in April 1988 through a resolution of the Government of India — now faces allegations of bias and conflict of interest right at the top. The stakes are much higher with the Indian stock market now a $5.3 trillion financial powerhouse. Over the years, SEBI has put in place robust systems of checks and balances that have constantly evolved to ensure that India’s securities market and financial system gained the reputation of being one of the most reliable globally. However, the accusations of a conflict of interest leveled by New York-based short-seller Hindenburg Research against SEBI chairperson Madhabi Puri Buch in the conduct of the ongoing investigations against the Adani Group, the Ahmedabad-based global infrastructure to FMCG major, for alleged stock price manipulation and corporate malfeasances, have cast a shadow on the statutory regulatory body. The main conflict concerns investments made by Ms. Buch and her husband Dhaval Buch in obscure offshore funds based in two tax havens, Bermuda and Mauritius, where Adani Group Chairman Gautam Adani’s brother Vinod Adani had allegedly also made investments. A second conflict arises over the Buchs’ consultancy firms in Singapore and India that the couple said were used by Mr. Buch to advise “prominent clients in the Indian industry” since 2019. It is not clear if some of them are SEBI-regulated. The Buchs claim that these firms “went dormant immediately” upon Ms. Buch’s acceptance of the whole-time membership on SEBI’s Board. However, Hindenburg, in its rebuttal to this response, claims that not only was the Indian entity functioning but it also clocked revenues of about $300,000 between financial years 2022-24.

This is an unprecedented case with wide ramifications where the Indian financial regulator’s top appointee is directly involved. The Adani Group has been under SEBI investigation for charges related to stock market manipulations for the past 18 months. SEBI has said that 23 out of the 24 charges under investigation have been completed. Whether or not Ms. Buch influenced investigations or decisions involving the Adani Group, the real issue is that there can be no room for any lingering doubts about her conduct. It would be in the fitness of things for Ms. Buch to step down from her position to ensure a thorough investigation into the allegations against the Adani Group. After all, the integrity of India’s securities regulatory body itself is at stake.

Come under scrutiny

• Meaning: To be examined or inspected closely, often for the purpose of judgment or evaluation.
• Example: "The company’s financial practices came under scrutiny after the audit revealed several discrepancies."

Cast a shadow on

• Meaning: To cause doubt or concern about the integrity or quality of something.
• Example: "The scandal cast a shadow on the politician's previously unblemished career."

Conflict of interest

• Meaning: A situation where someone’s personal interests could potentially influence their professional decisions.
• Example: "The lawyer recused himself from the case due to a conflict of interest."

Put in place

• Meaning: To establish or implement something, such as rules or systems.
• Example: "The new regulations were put in place to ensure the safety of all employees."

Unprecedented case

• Meaning: A situation or event that has never happened before.
• Example: "The court faced an unprecedented case involving complex international laws."

In the fitness of things

• Meaning: Appropriate or suitable given the circumstances.
• Example: "It would be in the fitness of things for the CEO to step down during the investigation."

At stake

• Meaning: At risk or in jeopardy, often referring to something of value or importance.
• Example: "The reputation of the organization is at stake in this lawsuit."

Step down

• Meaning: To resign or leave a position of authority or responsibility.
• Example: "The manager decided to step down after leading the company for over a decade."