- Friday, February 28, 2025
During her tenure she had to battle a series of allegations by Hindenburg, while simultaneously dealing with in-house employee protests against “toxic work culture”
By: India Weekly
INDIA’S first woman Sebi Chief Madhabi Puri Buch, who faced conflict of interest allegations by the US-based short-seller Hindenburg and also political heat thereafter, would complete her three-year tenure later on Friday (28) and will be succeeded by Finance Secretary Tuhin Kanta Pandey.
Before her appointment as Sebi chief, a veteran investment banker who has also worked with the country’s leading private sector lender ICICI Bank, joined Sebi’s board as a whole-time member in April 2017 and was later elevated as a chairperson in March 2022.
She succeeded former IAS officer Ajay Tyagi, who held the top position for five years, from March 1, 2017, to February 28, 2022.
Buch’s stint at Sebi Chief has been marked by both significant strides and notable challenges.
Taking charge on March 2, 2022, Buch made history as the first woman to lead the market regulator, as well as the first private-sector individual to hold the position.
Although Buch made significant strides in areas like faster settlements in equities, enhanced FPI disclosures and increasing mutual fund penetration, the last year of her tenure saw heightened controversy.
She had to battle a series of allegations by Hindenburg and the Congress party, while simultaneously dealing with in-house employee protests against “toxic work culture”.
In August last year, Buch faced pressure to resign after Hindenburg Research accused her of having a conflict of interest that prevented a thorough examination of manipulation and fraud claims at the Adani Group.
Hindenburg accused Buch and her husband, Dhaval Buch, of investing in offshore entities that were allegedly part of a fund structure in which Vinod Adani – the elder brother of Adani group founder chairman Gautam Adani – also had investments.
Buchs had denied the allegation saying the investments were made before she joined the regulator and she had complied with all disclosure requirements.
Hindenburg earlier this month announced shutting down its business.
The government, on its part, did not publicly say if it had sought an explanation from Buch.
She was summoned by Parliament’s Public Accounts Committee (PAC) in October 2024 as part of its review of financial regulators. However, she skipped the meeting citing personal reasons.
Born in 1966 and raised in Mumbai, Buch developed a deep interest in mathematics and finance, which laid the groundwork for her future career.
She pursued an MBA from Indian Institute of Management (IIM) Ahmedabad.
Buch’s career in the financial sector began in 1989 when she joined ICICI Bank, where she served for 12 years.
She took up several key roles such as Head of Marketing and Sales from 1997 to 2002, Head of Product Development from 2002 to 2003 and Head of Operations from 2004 to 2006.
In 2006, Buch was promoted to Executive Director at ICICI Bank, a position she held until 2009.
She was then made the chief executive officer of ICICI Securities in 2009 and remained there till 2011.
Buch then took up an international role as the Head of Business Development at Greater Pacific Capital in Singapore from 2011 to 2013.
She also served as a non-executive director at Idea Cellular from 2011 to 2017, and held non-executive director roles in several other organisations including Max Healthcare, Zensar Technologies, Innoven Capital, and Gabelhorn Investments.
In 2017, she was appointed a whole time member of Sebi, where she managed important portfolios such as surveillance and mutual funds.
Her close collaboration with then-Sebi chairperson Ajay Tyagi further solidified her influence in the regulatory body.
Pandey: A stickler for rules
Finance Secretary Tuhin Kanta Pandey, who will succeed Buch as Sebi chief, is a seasoned bureaucrat and a stickler for rules.
The 1987-batch Odisha-cadre Indian Administrative Service (IAS) officer will serve the post for three years.
Pandey faces the challenge of restoring the credibility and prestige of Sebi and restoring the morale of employees.
Soft-spoken Pandey is known for sticking to the rule book and getting the work done.
It was under his tenure as DIPAM secretary, that Air India was privatised after many unsuccessful attempts in the past.
Pandey played a key role in the framing of the 2025-26 Budget, which gave tax reliefs to the middle class and was also involved in the drafting of the new Income Tax Bill.
Pandey will take over as the head of the SEBI at a time when markets are witnessing bear pressure following a withdrawal by foreign institutional investors (FIIs).
Foreign portfolio investors (FPIs) have withdrawn more than ₹1 trillion (£9.09 billion) since January.
Pandey holds an MA in economics from the Punjab University, Chandigarh and an MBA from the University of Birmingham (UK).
He has worked in various capacities in the government of Odisha and the union government. (PTI)
