Madhabi Puri Buch was also employed at a PE firm during her ICICI Bank tenure?

In light of a barrage of serious allegations against SEBI Chairperson Madhabi Puri Buch, the Indian National Congress (INC) on Thursday called for a probe into the matter, asserting that an independent inquiry is in the national interest. "Several investors, both domestic and foreign, have expressed concern to us over the series of charges against the market regulator. There is an erosion of trust and credibility in India’s stock markets. The Congress party wants a strong and robust stock market with significant participation from both foreign and domestic investors. It is not in the nation’s interest to have clouds of doubt, fear, and uncertainty hanging over the market regulator," said Praveen Chakravarty, Chairman of the Professionals' Congress and Data Analytics at the grand old party.

Only an "objective, independent inquiry," with the SEBI Chairperson "stepping aside until then," can restore trust and confidence in the country’s stock markets as well as the economy, he added.

Citing a news article, Chakravarty said the INC also learned that Buch was employed at Greater Pacific Capital during her tenure at ICICI Bank between 2011 and 2013.

His statement followed days after the INC launched a salvo at the SEBI Chairperson, providing alleged details about her past association with ICICI Bank and demanding urgent clarification from Buch, the market regulator, as well as the Centre. The INC, along with several voices including journalists and other professionals, has demanded that the SEBI Chairperson step aside.

Instead, "Cabinet ministers and BJP MPs came to Ms. Buch’s rescue when the allegations were against an individual and her family. On September 2, 2024, the Congress Party revealed with documentary evidence that Ms. Buch was eligible to receive income from ICICI stock, which was regulated by SEBI—a clear conflict of interest. Again, ICICI Bank, which is indirectly implicated, responded to this charge while Ms. Buch, the primary accused, remained silent. Why did ICICI respond on behalf of Ms. Buch, when in a similar case with Ms. Chanda Kochhar, it did not defend her and instead set up an independent inquiry?" Chakravarty asked.

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The Congress party learned on Thursday, citing a news article, that Buch was also employed at Greater Pacific Capital during her tenure at ICICI Bank between 2011 and 2013. Greater Pacific Capital is a private equity fund where Shaurya Doval (son of NSA Ajit Doval) is a member of the leadership team, Chakravarty wrote, adding: "Given the long list of previous charges, this news raises even further concern about Ms. Buch’s ability to function objectively and independently."

The Professionals' Congress chief also cited "many internal documents" on the matter shared by insiders. "There are several more in the financial industry who want to volunteer information, documents, and other evidence anonymously. There is a whistleblower website for this purpose which collects documents 100 percent securely and anonymously," Chakravarty said.

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On Monday, the main opposition party took aim at Buch with a series of allegations.

The matter relates to an August 10 report by US-based short-seller Hindenburg Research, which alleged that Buch and her husband, Dhaval Buch, previously held investments in offshore funds also used by the Adani Group—charges categorically denied by the couple. The report also suggested a potential conflict of interest in her investigations into the conglomerate due to these investments.

Meanwhile, many financial experts have raised serious concerns about Buch's conduct during her tenure at SEBI.

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