Congress ups ante over SEBI row, levels more conflict of interest allegations against Madhabi Buch

'Is the Prime Minister aware that Ms. Madhabi Puri Buch's spouse is receiving a substantial income from M&M Limited after his retirement?' Congress asked.

New Delhi: Continuing its attack on the SEBI chairperson, Congress on Tuesday alleged that Madhabi Puri Buch had 99 per cent stake in a firm that provided consultancy services to Mahindra and Mahindra Group and her husband received Rs 4.78 crore as income from the conglomerate while it was under the scanner of the regulatory body.

Dismissing the allegations as “false and misleading in nature”, Mahindra and Mahindra Group said it had not requested the SEBI for any preferential treatment at any point and it followed the highest standards of corporate governance.

Congress president Mallikarjun Kharge claimed on ‘X’ that his party has already “revealed numerous” instances of Buch’s conflict of interest at a time the SEBI is investigating the “mega Modi-Adani scam”.

“Modi-Shah led committee appointed the SEBI Chairperson. Did they deliberately appoint her to benefit their crony friends? Or were they unaware of the shady financial dealings? Are SEBI orders on regulated companies, now, contingent on the consultancy fees its chairperson receives through a shady company?” he asked.

Party General Secretary (Communications) Jairam Ramesh asked whether Modi was aware that Buch owns 99 per cent in Agora Advisory Private Ltd and is receiving significant fees from listed entities, including Mahindra and Mahindra.

Addressing a press conference, Congress Media Department Chairperson Pawan Khera said, “This isn't just a case of willful concealment, it is a case of willful lying. In my last press conference, I had mentioned that it is not merely a conflict of interest, it is a case of corruption. Now, it is not just corruption, it is a criminal conspiracy, absolutely brazen and shameless in its execution.”

Khera said Buch had in her statement earlier claimed that the two consulting firms set up by her in Singapore and India -- one of which is Agora Advisory Private Ltd in India -- became immediately dormant on her appointment with SEBI. However, he claimed, the reality is that as of 31 March, 2024, she still owns 99 per cent stake in the Indian entity which has been actively providing consultancy services till date.

A Congress statement released by Khera claimed that in 2016-17, 2019-2020, to as late as 2023-24, as a whole time member of SEBI and later as its chairperson, Buch received a total of Rs 2.95 crore through Agora Advisory Private Limited with 2017-2018 and 2018-2019 being the exception years.

The list of companies that availed consultancy service from Agora Advisory Private Limited -- Mahindra and Mahindra Limited, Dr. Reddy's, Pidilite, ICICI, Sembcorp and Visu Leasing and Finance, it said.

"Strangely, of the total Rs 2.95 crore received by Agora Advisory Private Ltd, Rs 2.59 Crores has come from one entity alone - the Mahindra & Mahindra Group. It accounts for 88% of the total money that Agora Advisory received. If this was not shocking enough, the SEBI Chairperson’s husband Dhaval Buch received Rs 4.78 crore as income in a personal capacity from the Mahindra & Mahindra Group. This is in addition to the Rs 2.95 crores received by ‘Agora Advisory Private Limited’...This comes at a time when his wife, as a Whole Time Member of SEBI, was adjudicating cases of the same group," it said.