Only JPC probe can unravel truth of 'Modani mega scam': Congress

There must be a JPC probe into the Adani issue as the business conglomerate’s “irregularities and wrongdoings” span every dimension of the political economy, the Congress said on Friday (August 16).

Indeed, the subject matter goes beyond the Hindenburg Research's revelations vis-à-vis the Adani Group, the party said.

Congress general secretary Jairam Ramesh said "Hindenburg is only the tip of the iceberg" and its allegations are limited to those that deal with the capital markets.

Why JPC is required

"The demand for a Joint Parliamentary Committee (JPC) investigation into the Adani Mega Scam goes far beyond the revelations made by Hindenburg Research's reports.

"Irregularities and wrongdoings relating to the Adani Group span every dimension of the political economy, as documented in our 100 questions series," Ramesh said in a post on X.

Elaborating what he said were key elements of the "scam", Ramesh said it pertains to the "misuse" of India's investigative agencies to secure "Adani monopolies" in ports, airports, cement and other critical sectors.

Favouritism for Adani

He alleged that extraordinary favouritism had been shown by government banks, particularly the SBI, in providing credit for key projects, including the Adani copper plant at Mundra, the airport in Navi Mumbai and the Uttar Pradesh Expressway Project.

The Congress leader also alleged "subordination of India's foreign policy interests to the needs of Adani Enterprises, at the cost of India's standing in the neighbourhood".

He claimed that India's strategic relationship with Israel had been handed to a single company, Adani.

Hindenburg limited to capital markets

Ramesh spoke about coal and power equipment over-invoicing, alleging that it has not only facilitated money laundering and abnormal profits but also raised the common citizen's electricity bills.

He cited "unregulated extension" of leases over publicly-owned assets to Adani Group at throwaway prices.

"The Hindenburg allegations do not refer to any of the above. Its allegations are limited to those that deal with the capital markets -- stock manipulation, accounting fraud, and conflict of interest in regulatory agencies. Hindenburg is only the tip of the iceberg," Ramesh said.

Only JPC can unravel 'mega scam'

"Only a JPC can investigate and unravel the true and full extent of this Modani mega scam," he stressed.

Ramesh's remarks come days after Hindenburg Research launched a fresh broadside against market regulator SEBI chairperson Madhabi Buch, alleging that she and her husband had stakes in obscure offshore funds used in the Adani money siphoning scandal.

Buch and her husband have denied the allegations levelled against them and asserted that their finances are an open book.