According to the Bloomberg Billionaire’s Index (BBI), Gautam Adani, the chairman of the Adani Group of Companies, has surpassed Mukesh Ambani, the chairman of Reliance Industries, to become the richest person in both Asia and India.
Gautam Adani followed a roller-coaster journey in the wealth rankings last year. This news comes just days after India’s top court ruled that there was no need for further investigations into the shocking claims made by Hindenburg Research against the tycoon’s conglomerate.
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Adani Hindenburg Saga 2023: Details
The Adani Group was accused by New York-based short seller Hindenburg Research in January 2023 of sustained stock manipulation and violations in its bookkeeping. The Adani Group denied these allegations. Following these accusations, the stock prices of the Adani Group firms fell, causing Adani’s fortune to drop by as much as $69 billion, or about 60%.
Major Effects on Adani Group of companies after Hindenburg Allegations:
Adani Enterprises cancels the Rs 20,000 crore FPO. “The interest of the investors is paramount, so the Board has decided not to proceed with the FPO in order to insulate them from any potential financial losses,” states Gautam Adani.
Adani-Hindenburg Case Verdict by The Supreme Court :
On Wednesday Jan. 3, the Supreme Court denied requests for a Special Investigation Team (SIT) or court-monitored investigation by the Central Bureau of Investigation into claims made by US-based short seller Hindenburg Research in a January 2023 report against the Adani Group firms.
The Center was also tasked by the Court with investigating “the loss which has been sustained by Indian investors as a result of the volatility caused by the short positions taken by Hindenburg Research and any other entities acting in concert with Hindenburg Research” and “look into whether the entities, which engaged in short-selling on this occasion, did any illegal activity.”
Following the Supreme Court’s decision, Gautam Adani shared his thoughts on X.
Market Response after Supreme Court verdict on Adani Group of companies
Following the Supreme Court’s decision on petitions requesting a probe into fraud charges against Adani Group companies, Adani Group stocks shot up to 12 percent on Wednesday, January 3, increasing the group’s whole market capitalization by nearly ₹15 lakh crore. Also, within the following 2 days Gautam Adani, the chairman of the Adani Group of Companies, became the richest person in both Asia and India.
Also Read : Gautam Adani’s Remarkable Recovery: A $15 Billion Turnaround After Hindenburg Saga