The Congress party has escalated its criticism of former SEBI chairperson Madhabi Puri Buch, accusing her of corruption and a blatant conflict of interest. Pawan Khera, head of the Congress’ media and publicity department, pointed to a potential conflict arising from the business dealings of Buch’s husband. He alleged that Carol Info Services, a company owned by Buch and her husband, is associated with Wockhardt Ltd., a company that has been the subject of SEBI investigations, including an insider trading case. Khera argued that while Buch was SEBI chairperson, her organization was dealing with complaints and cases against Wockhardt, presenting a clear conflict of interest. He further stated that this was not simply a conflict of interest but outright corruption.
These allegations come against the backdrop of growing discontent within SEBI. Over 200 SEBI employees staged a silent protest outside the regulator’s headquarters, demanding Buch’s resignation. The employees, while refusing to comment to the media, issued a statement demanding the withdrawal of a press release by SEBI and calling for Buch’s resignation. This protest followed reports of a toxic work culture within SEBI and accusations against Buch.
The Congress has also questioned ICICI Bank’s claim of not paying Buch a salary or granting her ESOPs after her retirement, citing inconsistencies in the payment records. The party alleges that Buch has continued to receive income from the bank since her retirement in 2013, creating another potential conflict of interest.
The opposition party has called for Prime Minister Narendra Modi, as head of the Appointments Committee of the Cabinet, to clarify Buch’s appointment. They have demanded an investigation into these allegations of corruption and conflict of interest, further intensifying the political pressure on the former SEBI chairperson.
