Sebi Employees Protest Against Management’s Press Release
On Thursday, September 5, 2024, approximately 200 employees of India’s Securities and Exchange Board of India (Sebi) staged a protest at its Mumbai headquarters, following a contentious press release issued by the regulator’s top management. The press release, issued a day earlier, labeled the employees’ earlier complaints about the work environment as “misguided by external elements.”
The protest, held at Sebi Bhavan in BKC Bandra, Mumbai, lasted for about two hours before the employees returned to their offices. According to Moneycontrol, the demonstration was organized to express dissent and unity against what employees perceived as management’s attempt to discredit their grievances through the press release. An internal message among the employees reportedly stated, “The immediate demand is the withdrawal of the press release and the resignation of the SEBI chairperson for spreading lies against SEBI’s employees.”
Background of the Protest
The unrest began after some Sebi employees sent a letter to the Finance Ministry last month, highlighting a “stressful and toxic work environment” at the regulator. In response, Sebi claimed that “outside elements” had influenced the employees, suggesting they should not be held to high standards of performance and accountability. However, Sebi did not provide further details about these alleged external influences.
Controversy Surrounding Sebi Chairperson
The protest comes amid additional controversy involving Sebi Chairperson Madhabi Puri Buch. US-based activist short-seller Hindenburg Research LLC, known for its critical reports on the Adani Group, has accused Buch of conflicts of interest. Hindenburg alleged that both Buch and her husband had previously held investments in offshore funds used by the Adani Group.
Further compounding the situation, Zee’s Subhash Chandra has labeled Buch as “corrupt,” and the Congress party has alleged that she continued to earn from ICICI Bank, where she had previously worked.
The ongoing issues at Sebi reflect growing tensions within the regulatory body and scrutiny over its leadership amidst broader allegations of misconduct and conflict of interest.
