New Delhi, May 28, 2025 — In a significant development, former Securities and Exchange Board of India (SEBI) Chairperson Madhabi Puri Buch has been given a clean chit by the Lokpal in connection with allegations made in the controversial Hindenburg Research report.
The Lokpal of India, which is the country’s anti-corruption ombudsman, dismissed the corruption charges against Buch after a detailed inquiry. The allegations had surfaced last year when the Hindenburg report, known for its critical exposés on corporate governance, indirectly mentioned regulatory lapses and possible complicity at the top levels of SEBI during Buch's tenure.
According to the report, questions were raised regarding SEBI’s handling of certain investigations and its regulatory approach, particularly in relation to major corporate entities. These accusations led to heightened scrutiny of the market regulator and prompted calls for an independent probe.
However, after months of examination, the Lokpal concluded that there was no substantive evidence to support the corruption allegations against Buch. Officials familiar with the matter stated that the complaint lacked merit and appeared to be based on speculative assertions rather than concrete proof.
Madhabi Puri Buch, who became SEBI’s first female chairperson and served until her term ended earlier this year, is widely recognized for bringing a technology-driven approach to regulatory reforms. She had also played a key role in enhancing transparency in India’s capital markets.
The clean chit is expected to restore confidence in Buch’s legacy and SEBI’s institutional integrity. Industry leaders and former colleagues have welcomed the decision, calling it a vindication of her professionalism and ethical conduct.
The Hindenburg report continues to be a subject of debate in financial circles, particularly due to its impact on market volatility and investor sentiment in India.
