Madhabi Puri Buch, the chairperson of the Securities and Exchange Board of India (SEBI), is under scrutiny following allegations from Hindenburg Research linking her offshore fund investments to the Adani Group controversy.

Hindenburg's report claims that Buch and her husband invested in offshore entities that were allegedly used to inflate the stock prices of the Adani Group, supported by whistleblower documents.

In response to these allegations, Buch and her husband released a joint statement denying the claims, labeling them as baseless and untrue.

Amidst these allegations, SEBI has advised investors to remain calm and conduct due diligence before reacting to reports like those from Hindenburg Research.

The Adani Group has refuted the allegations, asserting that their offshore investment structure is transparent and has no business relations with the individuals mentioned in the report.

SEBI has stated that it has completed 23 out of 24 investigations related to the Adani-Hindenburg matter, with one investigation nearing completion.

Market analysts expect that while the allegations may provoke an initial market reaction, any downturn is likely to be brief, as the markets are anticipated to recover quickly.

Congress President Mallikarjun Kharge has emphasized the importance of protecting small and medium investors who rely on SEBI for their investments amidst these controversies.

Critics, including Congress leader Jairam Ramesh, have pointed out SEBI's reluctance to investigate the Adani Group thoroughly, citing concerns raised by the Supreme Court’s Expert Committee.

Buch has confirmed that Blackstone is on SEBI's 'recusal list', indicating that she did not participate in decisions affecting the firm.

The Association of Mutual Funds in India has criticized the Hindenburg report as sensationalist, asserting that India's financial system remains secure and transparent.