Public Accounts Committee to meet today; Sebi Chair Buch under pressure

PAC’s Sebi review: The Public Accounts Committee (PAC) headed by senior Congress leader KC Venugopal is set to meet on Friday, October 4 with the possibility of continuing discussion on the financial review of the Securities and Exchange Board of India (Sebi). 

Sebi Chairperson Madhabi Puri Buch is facing mounting pressure due to several allegations concerning her role in the Adani-Hindenburg saga. Hindenburg Research, a US-based short-selling firm, has accused Buch of favouring and promoting Real Estate Investment Trusts (REITs), a move that allegedly benefited her husband, Dhaval Buch. Dhaval Buch is associated with BlackRock, the world’s largest asset manager, which received approval for multiple REITs during her tenure as SEBI chairperson. These developments have raised questions regarding potential conflicts of interest.

Sources familiar with the matter also suggest that Buch could step down from her position as the Chairperson of Sebi due to the mounting scrutiny. 

The PAC had requested Sebi’s receipts and payments, CAG audit report, and internal audit committee observation. The probe comes as part of the PAC’s review of regulatory bodies established by Acts of Parliament, introduced as an agenda item during its meeting on August 29.

Congress ’s attack

The Congress has also escalated its criticism of SEBI Chairperson Madhabi Puri Buch last month, alleging that she earned Rs 16.80 crore between 2017 and 2024 from ICICI Bank , despite joining SEBI as a full-time member in 2017. 

ICICI Bank has refuted the claims, stating that no salary or Employee Stock Ownership Plans (ESOPs) were provided to her after her retirement from the bank, apart from standard retiral benefits.

Buch has also faced criticism from a faction of SEBI employees, who held a protest in Mumbai this week against her leadership style. The protesting employees accused her of fostering a toxic work environment at the regulatory body.