Market News Updates : Nearly a year has passed since a US-based investment research firm accused one of the largest corporate groups in India of manipulating stock prices. This accusation set off a political slugfest between the Opposition and the BJP, which ultimately resulted in the washout of the Budget Session of Parliament.
A three-judge panel headed by Chief Justice of India D Y Chandrachud is scheduled to rule on a number of petitions pertaining to claims of stock price manipulation made by short seller Hindenburg Research against the Adani Group on Wednesday.
On March 2, 2023, the Supreme Court directed market regulator SEBI to carry out the investigation that was started following the publication of the Hindenburg report in order to determine “whether there was any manipulation of stock prices in contravention of existing laws.” A six-person expert committee was also established to “investigate if there was a regulatory failure.” The expert group declared in May that there was “no coherent pattern of abusive trading” and no proof of SEBI’s regulatory failure. Regarding the group of petitions in the case, the court postponed making a decision in November.
The accusations against the Adani Group were made at a period when the Opposition was still fragmented and had not united to oppose the BJP and steer it in the direction of the eventual formation of the INDIA coalition.
During the Budget Session, the Opposition banded together to confront the BJP by connecting Prime Minister Narendra Modi’s ascent in national politics to the growth of entrepreneur Gautam Adani’s conglomerate. The ruling party retaliated against a coalition of opposition parties demanding a Joint Parliamentary Committee (JPC) investigation into the Hindenburg report by pressuring Congress MP Rahul Gandhi to retract comments he made about the condition of Indian democracy while visiting the UK. Because of this, the 2023 Budget Session was the least productive in the previous five years, and the deadlock made it probable that the 17th Lok Sabha would end up with the fewest sitting days ever.
It is highly likely that the verdict will spark a dispute between the BJP and the INDIA group. With the Lok Sabha elections coming up in a few months, both sides would be looking to gain political points, depending on the outcome of the case.
In an attempt to protest the arrest of a 60-year-old Hindu activist linked to the Hubballi riots of 1992 and the subsequent demolition of the Babri Masjid in Ayodhya, the BJP is scheduled to take to the streets of Karnataka on Wednesday.
Context: The Congress has refrained from addressing three contentious issues that stem from the BJP’s tenure in order to deprive the BJP of leverage ahead of the parliamentary elections: it hasn’t repealed anti-conversion and anti-sale cattle laws, and it made it clear in the final week of December that it hadn’t issued an order lifting the hijab ban. But this “pragmatic approach” is about to be put to the test as the BJP protests the detention.
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