Adani row: Financial markets regulated, govt monitoring situation, says BJP

Amid the raging controversy over Adani Group's stocks, the BJP on Saturday said financial markets are highly regulated and the Centre is closely monitoring the situation.

Stocks of the Adani Group have taken a beating on the bourses after US-based activist short-seller Hindenburg Research made a litany of allegations, including fraudulent transactions and share price manipulation at the Gautam Adani-led group.

The Adani group has dismissed the charges as lies, saying it complies with all laws and disclosure requirements.

"I do not want to name any particular group but Finance Minister Nirmala Sitharaman has already spoken on this subject. The Reserve Bank has also given a detailed explanation as per which banks of the country have given huge loans to various companies by following all parameters," Bharatiya Janata Party's national spokesperson Gopal Krishna Agarwal told reporters.

He said financial markets are heavily regulated by the Reserve Bank, Sebi and other regulators. The Finance Minister has made it clear that all regulators are doing their job.

Agarwal said the Sebi has also issued a statement regarding the current situation.

He said the corporate sector had seen ups and downs in the past also and the government is keeping a close watch on the current situation.

On the Congress' demand for setting up a Joint Parliamentary Committee (JPC) to investigate the allegations of fraud and stock manipulation against the Adani Group, the BJP spokesperson avoided a direct response, saying, "The government will look into this matter."

Meanwhile, Agarwal said the general budget will strengthen the economy and several new jobs will be created due to the expansion of the manufacturing sector.

He said there is no recession in India by any means currently and its economy is growing at the fastest rate in the world.