Kotak's Offshore Fund Revelations Amid Adani Stock Plunge Controversy

Billionaire banker Uday Kotak's offshore fund was allegedly used by an unnamed investor to profit from Adani shares' plunge following a critical Hindenburg report. The US short-seller, Hindenburg Research, has received a show cause notice from SEBI regarding gains made from these investments. Kotak denies any association with Hindenburg.

Uday Kotak, the billionaire banker who founded Kotak Mahindra Bank, is embroiled in allegations that an offshore fund created by his bank was used to profit from a plunge in Adani shares following a critical report by Hindenburg Research. The US short-seller has alleged stock market manipulations and accounting fraud at the Adani group in its January 2023 report.

Hindenburg Research disclosed that it had a short position on Adani shares, leading to significant profits. SEBI has issued a show cause notice to Hindenburg, questioning the legality behind their gains. Hindenburg has denied any wrongdoing, stating that Kotak and his bank were never their clients.

The situation raises concerns over the actions of regulatory bodies and their dealings with influential businessmen. SEBI has yet to comment on these claims, while Hindenburg continues to defend its report, despite the backlash from the Adani group and the ongoing investigations.

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