Behind every great fortune there is a crime …
Unless you are living under a rock you must have heard of the crisis facing the Adani family as a result of the release of a report by a small American company known as Hidenburg Research.
Adani is a rags to riches powerhouse dominating the Indian business environment.
The report lays bare the complex network of funds and shell companies, some of them in Mauritius, Cyprus and UAE which have been used for manipulating the share prices of the listed companies and to shift money on to their balance-sheet “to maintain the appearance of financial health and solvency in the midst of high debts and few liquid assets”. The report estimates that the valuations for the Adani companies were overstated as much as 85 per cent. The report accuses the Adani group of having “engaged in brazen stock manipulation and accounting-fraud scheme”.
Hindenburg Research really has become the corporate world’s grim reaper.
Assuming I’m understanding things correctly, and that things are all above-board, Hindenburg seems to have a wild MO: Investigate fraudulent companies, tell the world, and short them on their way down.
I get the idea that producing such a report could be seen as potentially unethical on Hindenburg’s part, but Adani Enterprises’ illegal activities are so egregious that anyone not calling them out would have an even bigger ethical issue on their hands IMO. I don’t care if Hindenburg made some money off of telling the truth and exposing this family of con artists.
Its been clear to every investor here for a while now that Adani was into some shady shit. My only small qualm is the lack of investigation into how much of their value is actual value vs imaginary value.
The disgusting thing is that Adani’s stock price has basically recovered. Within the time of the production of this video, the market has essentially stated “Fraud, meh, carry on now…”
Their stock recovered after florida investor purchased 3% of the company. Their portfolio is solid. So i don’t think anything will happen to them.
Behind every great fortune there is a crime …
Will Adani succeed in bullying Hidenburg?
