Lawyer Accuses Chinese Conspiracy in Market Crashes

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Lawyer Accuses Chinese Conspiracy in Market Crashes

Senior lawyer Mahesh Jethmalani criticized the backlash faced by the Adani Group from the "crony capitalism" campaign, highlighting that the campaign seemed to have political and market repercussions initially. However, with the Supreme Court's clearance, the Adani Group's shares have rebounded to their previous levels before the Hindenburg Research report. Jethmalani emphasized that the celebration of the short-seller Hindenburg Research's report on the Adani Group has now turned against those who supported it.

Jethmalani alleged that a businessman with Chinese connections, Anla Cheng, and her spouse engaged Hindenburg Research to prepare a damning report on the Adani Group. This allegedly led to a considerable decline in Adani's market capitalization, causing substantial financial setbacks for Indian retail investors. He claimed that Chinese strategic interests aimed to benefit from undermining an Indian corporate competitor through these actions.

The lawyer pointed out that Mark Kingdon, a US-based businessman, hired Hindenburg to compile the report on the Adani Group, suggesting a planned effort to negatively impact Adani stocks. Jethmalani raised concerns about the involvement of Kotak Mahindra Investments Limited (KMIL) in setting up a trading account for short-selling Adani stocks, ultimately leading to profitable gains for those behind the scheme. Jethmalani suggested that the campaign against the Adani Group had deeper implications related to Chinese espionage and strategic interests in the Indian market.