Shares in Adani group of companies plunged on Thursday after the conglomerate, led by tycoon Gautam Adani, shelved a $2.5 billion share sale amid a turbulent market, citing the need to insulate investors from potential losses.
India’s Nifty Bank index (.NSEBANK) has lost 5.4% since the New York-based short-seller released its report. The broader Nifty index (.NSEI) shed up to 2.8% over the period.
Information being sought by the RBI includes details of collateral being used to back loans and any indirect exposure banks may have, one of the sources said.
Congress members Manickam Tagore gave adjournment notices in the Lok Sabha to discuss the Adani Group issue
Tagore, the party’s whip in Lok Sabha, said there is an emergency situation due to diminishing shares of the Adani group.
“This was followed by the Hindenburg report. A significant volume of public money through SBI and LIC is locked in the Adani Group. It is pertinent to discuss the matter immediately in the House, leaving aside routine business. The finance minister should disclose the actual condition of the loss and steps initiated by the government to save public money,” he said in his notice.
The House should come forward to discuss this matter and direct the government to act accordingly, he said.
