Troubled SEBI Chief Madhabi Buch Skips PAC Summons, Panel Reschedules Review Meet

SEBI Chief Madhabi Puri Buch on Thursday opted not to attend a meeting convened by the Public Accounts Committee (PAC) to examine the functioning of the regulatory body, citing "pressing reasons". This marks the second occasion that the PAC had summoned her.

The panel, chaired by senior Congress leader KC Venugopal, had called Buch for a review of SEBI's operations amid accusations from the Congress regarding her holding an office of profit at ICICI Bank, a claim the bank has strongly denied.

"In the first committee meeting, we decided to review our regulatory bodies. We scheduled a meeting today to review SEBI. We issued a notice to the relevant individuals. They requested to be excused from the meeting, which we refused. Following this, she confirmed that she and her team would appear before the committee," Venugopal informed reporters.

"But at 9.30 am today, we received information from the SEBI Chief and other members that she is unable to travel to Delhi due to some pressing reasons. Therefore, in consideration of her request, we have decided to postpone today's meeting to another date," he stated.

The PAC is tasked with overseeing the government's accounts and the functioning of public sector enterprises. The review of "regulatory bodies established by Act of Parliament", including SEBI, has been introduced as a suo motu subject for examination.

Why is SEBI under Opposition's line of fire?

SEBI has faced sustained criticism from the Congress and opposition following a report by US-based short seller Hindenburg Research concerning "stock price manipulation" by the Adani Group.

Last month, Hindenburg alleged that SEBI's reluctance to act against the Adani Group might be due to Buch holding stakes in offshore funds linked to the conglomerate. However, Buch dismissed the allegations as "baseless".

The Congress intensified its attack on Buch last month, claiming she received an income of Rs 16.80 crore between 2017 and 2024 from ICICI Bank, despite becoming a full-time member of SEBI in 2017.

While Buch has not yet responded to the accusation, ICICI Bank has denied paying her any salary or granting any ESOPs (Employee Stock Ownership Plans) after her retirement from the bank, other than standard retiral benefits.