Investing
Global financial research firm Hindenburg Research recently delivered a scathing report on the Adani Group, an Indian multinational conglomerate heavily involved in commodity trading and infrastructure deals, calling it the “largest con In corporate history.” Does Hindenburg’s report warrant shorting Adani, and if the allegations are correct, would the fallout deliver a significant blow to the country’s capital markets?
What is Hindenburg Research?
Founded in 2017, Hindenburg Research publishes regular forensic-style reports on financial misdeeds. The company was named after the Hindenburg airship, which was spectacularly destroyed in 1937. This was later deemed to be a human mismanagement issue.
In that vein, Hindenburg aims to detect corporate fraud, accounting irregularities, derivatives analysis, equities manipulation, and undisclosed regulatory and financial issues. As the head of Hindenburg Research, Nathan Anderson had previously worked with Harry Markopolos, a key fraud investigator who exposed the Bernie Madoff Ponzi scheme in 2008.
What Are Hindenburg’s Allegations Against Adani?
On Tuesday, after a 2-year investigation, Hindenburg Research published its findings on the Indian conglomerate Adani Group, headed by Gautam Adani. According to Forbes’ real-time billionaire ranking, Adani is the world’s fourth richest man…
