Subhash Chandra, the founder of ZEEL, has made serious allegations against SEBI Chairperson Madhabi Puri Buch, accusing her of bias, corruption, and unethical behaviour. Chandra’s claims come amid new allegations by the Congress party, which has accused Buch of drawing a salary from ICICI Bank and ICICI Prudential during her tenure as SEBI chief. In a recent statement, Chandra claimed that Buch, who was a whole-time director at SEBI in January 2019, was part of a group that aimed to harm his business interests.
Chandra spoke in detail about an incident from January 2019, where he requested over 30 lenders in his boardroom to grant him time to repay loans, arguing that without patience, both the lenders and investors, including mutual funds, would lose money. He accused Buch of pressuring mutual funds not to extend the repayment period and imposing penalties on those who did. Chandra stated that his repeated requests for more time were ignored by Buch, which he believes was part of a deliberate effort against his company.
In September 2021, Chandra wrote to the then SEBI Chairman, Ajay Tyagi, expressing concerns that Buch was influencing SEBI officials during his legal battle with Invesco. He described how SEBI officials would demand responses to Invesco’s communications within hours, questioning whether this was appropriate for a regulatory body. Chandra said that Tyagi did not respond to his letter, but his officers received a message regarding the issue.
Chandra further accused Buch of advising his son, Punit Goenka, to distance himself from him before summoning them for questioning. He has stated that he will not cooperate with SEBI and plans to take legal action. Chandra also claimed that he wrote to Finance Minister Nirmala Sitharaman regarding the matter but has not received a response. He hinted at major revelations about Buch expected in the next 10-15 days.
Chandra also mentioned a conversation with Manjeet Singh, who allegedly suggested settling the matter with a ‘three-digit’ payment, implying potential bribery. Chandra asserted that he is prepared to substantiate his allegations against the SEBI Chairperson.
This controversy comes after SEBI’s investigation last year, which accused ZEE of diverting Rs 200 crore through related-party transactions. Both Chandra and Punit Goenka contested these claims before the Securities Appellate Tribunal (SAT), where it was revealed that a broader investigation was ongoing due to the complexity of the transactions.
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