Adani Shares In Bloodbath; Adani Ent, Adani Total, Adani Green Shed 2-4%, Clarifies On EY Auditor Buzz

Adani shares, October 26: Adani Group-backed listed seven companies are in a bloodbath on Thursday. Some of them have been in red for over a week now, and some have touched a new 52-week high. A bombshell report by Hindenburg has turned the tides for the ports-to-power empire with new findings coming to light frequently since January.

The latest would be India's accounting regulator's investigation of one of the Group's auditors. However, Adani has strongly rejected non-compliance in terms of carrying businesses.

At the time of writing, Adani Enterprises tumbled by 2.5%, continuing its nine-consecutive day's selloff. Meanwhile, Adani Total Gas and Adani Green Energy tumbled by 2% and over 3.3%. Adani Total Gas has also touched a new 52-week low of Rs 521.95 apiece.

Meanwhile, Adani Wilmar also shed 2% and touched a new 2-week low. Also, Adani Ports was down by 0.43%.

Both Adani Power and Adani Energy Solutions were also in deep red with a fall of 7.5% and 4.3% respectively, however, in the last hour of market closing, these shares rebounded and were in green with an upside of 3% each.

People familiar with the matter told Bloomberg that one of Adani Group's auditors is being scrutinized by India's accounting regulator.

The news agency reported that the National Financial Reporting Authority (NFRA) started an inquiry into one of the member firms of EY in India, S.R. Batliboi and requested files and communications related to its audits on some of the companies controlled by Adani going as far back as 2014.

Right after the report, Adani Group's spokesperson stated that the conglomerate and its businesses have been in adherence to regulations and accounting standards.

The spokesperson said, "We strongly reject any suggestion that Adani Group and its businesses have not acted as per the regulations and accounting standards of the jurisdictions in which we operate."

Further, the spokesperson added, "The Adani Group has always conducted its business in compliance with all applicable laws and regulations and is confident about its practices, governance and disclosures."

On January 24th, Hindenburg accused Gautam Adani-backed Grouop of brazen stock manipulation and accounting fraud schemes over decades. This matter is currently being heard and investigated by the Supreme Court and other authorities like market regulator Sebi, and Enforcement Directorate, among others.

Adani has denied all the allegations by Hindenburg. After deferring the hearing for the Adani-Hindenburg case twice recently, the Supreme Court is now expected to take the matter on October 20th, as per reports.