In an era where regulatory bodies often operate under intense scrutiny yet evade accountability, one man stands resolute in his mission to unveil corruption at the highest echelons of power: Dr. Subramanian Swamy. Known for his unrelenting tenacity and fearless pursuit of justice, Dr. Swamy once again proved his mettle by filing a Public Interest Litigation (PIL) in February 2024 in the Delhi High Court, targeting Madhabi Puri Buch, the Chairperson of the Securities and Exchange Board of India (SEBI). His PIL exemplifies his decades-long battle against the "big sharks" of corruption, cementing his legacy as a lone warrior unafraid to challenge the establishment.
The PIL: Unmasking Conflict of Interest and Regulatory Failure
Dr. Swamy’s PIL, filed in February 2024, centers on a glaring conflict of interest involving Madhabi Puri Buch and a massive ₹5,100 crore deal between Axis Bank and Max Life Insurance. The petition shows Axis Bank of engaging in fraudulent transactions, selling shares of Max Life at ₹166 each in March 2021 to Max Financial and Mitsui Sumitomo, only to repurchase a larger stake (12.002%) shortly thereafter at a drastically reduced price range of ₹31.51–32.12 per share. This maneuver, Dr. Swamy contends, allowed Axis Bank and its affiliates—Axis Securities Limited and Axis Capital Limited—to reap "undue profits" in a non-transparent manner, violating mandatory guidelines set by the Insurance Regulatory and Development Authority of India (IRDAI).
At the heart of the PIL is Buch’s past association with Max Healthcare Institute Limited, where she served as an Additional Director and Director from February 4, 2015, to April 3, 2017. Dr. Swamy argues that this tenure creates a conflict of interest, suggesting that SEBI’s failure to promptly investigate the Axis-Max deal stems from Buch’s prior ties to the Max Group. In an affidavit submitted on March 13, 2024, he explicitly linked her role at Max Healthcare to SEBI’s apparent inertia, questioning whether her influence as Chairperson has stymied regulatory action. The Delhi High Court, while disposing of the PIL on August 19, 2024, noted that SEBI and IRDAI were already examining the matter and urged them to conclude their probes swiftly. However, Dr. Swamy’s bold move had already ignited a public debate, exposing vulnerabilities in SEBI’s oversight under Buch’s leadership.
Madhabi Puri Buch: A Trailblazer with a Controversial Past
Madhabi Puri Buch, appointed SEBI Chairperson on March 2, 2022, holds the distinction of being the first woman and the first private-sector professional to lead the regulatory body. An alumna of the prestigious Indian Institute of Management Ahmedabad, Buch’s career spans over three decades in finance, with significant stints at ICICI Bank, ICICI Securities, and Vodafone Idea. Her rise to prominence was notably shaped by her close association with KV Kamath, a towering figure in Indian banking who mentored her during her tenure at ICICI Bank. Kamath, a former CEO of ICICI Bank and later Chairman of the New Development Bank, is credited with grooming Buch, who worked under his leadership before ascending to senior roles within the ICICI Group.
Buch’s private-sector credentials were initially hailed as a fresh perspective for SEBI, a body traditionally led by career bureaucrats. However, her extensive corporate ties—particularly with Max Healthcare and ICICI—have come under scrutiny, raising doubts about her impartiality. Critics, including Dr. Swamy, argue that her background predisposes her to favor corporate interests over regulatory rigor, a perception amplified by her alleged inaction on high-profile cases.
The Adani Conundrum: A Rubberstamp Chairperson?
Perhaps the most damning critique of Buch’s tenure is SEBI’s apparent reluctance to act decisively against the Adani Group, despite allegations of accounting fraud, market manipulation, and money laundering leveled by U.S.-based short-seller Hindenburg Research in January 2023 and August 2024. The Hindenburg reports accused Buch and her husband, Dhaval Buch, of holding stakes in obscure offshore funds, EM Resurgent Fund and Emerging India Focus Funds. While the Buchs have denied these claims, asserting that their investments predated her SEBI tenure and that all disclosures were made, the controversy has fueled speculation that she has acted as a rubberstamp Chairperson, shielding powerful corporate entities like Adani.
Under Buch’s watch, SEBI’s investigation into the Adani Group has progressed at a glacial pace. Despite a Supreme Court-appointed expert committee—chaired by former judge Abhay Manohar Sapre and including KV Kamath—tasked with probing SEBI’s handling of the Adani case, no significant punitive action has emerged as of March 2025. The committee’s report, released in 2023, highlighted SEBI’s failure to identify the ultimate beneficial owners of 13 foreign portfolio investors linked to Adani since 2016, yet it controversially gave the group a clean chit.
This leniency contrasts sharply with SEBI’s stringent actions elsewhere, such as the recent punishment of Anil Ambani’s entities, prompting analysts to question whether selective enforcement reflects Buch’s biases. Dr. Swamy’s PIL, though focused on the Axis-Max deal, indirectly bolsters this narrative, suggesting a pattern of regulatory capture under Buch’s leadership.
Dr. Swamy’s Tenacity: A Beacon of Hope
Dr. Subramanian Swamy’s decision to file the PIL against Buch in 2024 is not an isolated act but a continuation of his storied career as a crusader against corruption. A former Cabinet Minister, Harvard-educated economist, and founder of the Janata Party, Dr. Swamy has a track record of taking on powerful figures—from his 1997 petition against P. Chidambaram to his recent legal battles over economic reforms. His foresight in targeting Buch’s alleged conflicts of interest predates the Hindenburg exposé, proving once again that he is often the first to smell smoke where others see only fog.
Dr. Swamy’s PIL has forced SEBI and Buch into the spotlight, compelling regulators to address long-simmering concerns about transparency and accountability.
Conclusion: A Call for Accountability
Dr. Swamy’s PIL stands as a testament to the power of individual resolve against systemic corruption. His fearless pursuit has exposed cracks in SEBI’s facade of being an impartial and transparent regulator. Whether Buch’s legacy will be defined by her trailblazing ascent or her alleged complicity with “big sharks” remains undecided, but one thing is certain: Dr. Subramanian Swamy’s vigilance ensures that the fight for justice in India’s financial markets will not fade quietly into the night.
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