‘Need full transparency’, SC’s no to Centre’s sealed cover suggestion on Hindenburg-Adani row
The Supreme Court on Friday said it would not accept sealed cover names of experts suggested by the Centre for inclusion on the committee to be set up to examine Hindenburg report, which resulted in crashing of Adani group company share prices and caused massive loss to investors.
A bench headed by Chief Justice D.Y. Chandrachud said the court will select experts and maintain full transparency, and if the court were to take names suggested by the central government then it would amount to a government constituted committee.
The bench, also comprising justices P.S. Narasimha and J.B. Pardiwala, said the court wants full transparency for protection of interest of investors and it will form a committee so that there is a sense of confidence in the court.
On the aspect of the remit of the committee, Solicitor General Tushar Mehta, representing the Centre, submitted that there should be a holistic view and no unintended impact is caused in the security market. The bench orally observed that it cannot be denied that investors have lost a lot.
Mehta added that so far as your lordship’s suggestion that a former judge should sit on it, we don’t mind.
The bench said that it would not set up a committee under a sitting apex court judge to look into the Hindenburg report matter, however, it said it may set up a committee headed by a retired apex court judge.
The bench told Mehta, “We want to ensure transparency. In case we take your suggestions from a sealed cover, it automatically means the other party won’t know.”
The apex court was hearing a batch of pleas in connection with the Hindenburg report controversy.
One of the petitions sought a direction to set up a committee monitored by a retired apex court judge to investigate the Hindenburg Research report, which resulted in crashing of Adani group company share prices and caused massive loss to investors.