Sebi chief, husband reject conflict of interest charges, call it false, motivated

Securities and Exchange Board of India (Sebi) Madhabi Puri Buch and her husband Dhaval Buch issued a joint statement on Friday, rejecting conflict of interest allegations levelled against them by the Congress party.
In a joint statement released on Friday, they described the recent accusations as “completely false, malicious, and defamatory.”
The statement outlined the consulting assignments of Dhaval Buch with companies like Mahindra & Mahindra, Pidilite, Dr. Reddy’s, and Alvarez & Marsal. These contracts, they stated, were purely merit-based and occurred well before Madhabi Puri Buch took office as Sebi chairperson.
“It is unfortunate that questions have been raised regarding the consulting assignments of Dhaval Buch and the firms Agora Advisory in India and Agora Partners in Singapore. There seems to be an assumption that when a spouse of a senior government official is appointed as an advisor, it must be attributed to factors beyond professional merit. Such assumptions overlook the strength of qualifications and expertise and reach conclusions that are most unfortunate,” the statement read.
Mahindra & Mahindra, which contributed to the majority of Agora Advisory’s income, clarified in its own statement that Dhaval Buch was hired in 2019 for his expertise in supply chain management, long before Madhabi assumed her role at Sebi. Pidilite and Dr. Reddy’s also echoed similar sentiments, dismissing any notion of undue favoritism or conflict.
The Buchs also addressed allegations related to their rental income from a property leased to a Wockhardt associate, explaining that Madhabi Puri Buch had no involvement in any Sebi investigations regarding the company.
They highlighted that the rental agreement was made under standard market terms and had been disclosed to Sebi since Madhabi Puri Buch’s appointment in 2017.
“All necessary disclosures have been made to Sebi in writing right from Madhabi’s appointment as a Whole-Time Member in 2017, including details about the property’s market value and the rental income derived from it,” they said.
“Making such baseless allegations reflects a clear disregard for the comprehensive legal framework and mechanisms that govern public institutions like Sebi and are motivated to mislead the public. Such allegations, devoid of factual support, seek to tarnish the reputation of individuals, respected corporates , as well as institutions of the country,” the Buchs added.
Additionally, the statement provided clarity on Madhabi’s Employee Stock Options (ESOPs) from ICICI Bank, stating that the bank’s rules allowed retired employees, such as Madhabi, to exercise vested options over ten years—contrary to claims suggesting irregularities in her pension payments.
“With respect to the baseless allegations concerning the exercise of Employee Stock Options ( ESOPs), it is completely false that the options are to be exercised only in 3 months,” the statement said.
“The above facts clearly show that all the allegations made are false, incorrect, malicious and motivated. The allegations themselves are based on our Income Tax Returns,” it added.