Sebi probe faults Adani group on disclosure rules.

By Jayshree P Upadhyay

(Reuters) - An investigation of India's Adani group by the market regulator has uncovered violations of rules on disclosures by listed entities and limits on the holdings of offshore funds, two sources with direct knowledge of the matter said.

The Securities and Exchange Board of India (SEBI) launched the inquiry after U.S.-based Hindenburg Research raised governance concerns around the Gautam Adani-led group, shaving more than $100 billion from the market value of its companies.

The ports-to-power conglomerate had denied wrongdoing in January.

The sources, who sought anonymity as they were not authorised to speak to the media, characterised the violations as being of a "technical" nature that would attract no more than a monetary penalty once the investigation is complete, however.

India's Supreme Court, which is overseeing SEBI's investigation of the Adani group, is set to hear the matter on Tuesday.

But SEBI has no plans to make the report public until the regulator has passed its orders on the Adani investigation, one of the sources said.

On Monday the group did not respond to a Reuters request for comment on the regulator's findings.