All of the accusations made in the Hindenburg report Adani have been refuted by Mr. Gautam Adani, who also labelled it a “malicious and calculated attack on India.” Additionally, he has done a number of actions to attempt and rebuild his reputation and the public’s faith in him.
Bonnie Gibson Discussion 2 Chapter 5Suggest some cautions thJeniceStuckeyoo
Bonnie Gibson
Discussion 2
Chapter 5
Suggest some cautions that an individual from a relationship oriented culture should bear in mind when dealing with someone from an information orientated culture.
Relationship-oriented societies usually have a long shared history where networks of connections are passed on from generation to generation, generating more shared context among community members (Meyer, 2014). When dealing with someone from an information oriented culture they tend to be low-context. In low-context cultures, communication is simple, clear, and explicit in order to effectively pass the message. As globalization transforms the way we work, we need to have the ability to decode cultural differences in order to work effectively with clients, suppliers, and colleagues from around the world (Meyer, 2014).
Differentiate among the following: bribery, extortion, lubrication and subornation.
Bribery is the use of funds usually illegally, to influence decisions made by public employees and government officials. There are limitless variations grouped under bribery including; extortion, lubrication, and subordination. The difference between bribery and extortion is determined by whether the payment was volunteered (bribery) or demanded (extortion). Bribery is a volunteered payment by someone seeking an unlawful advantage. Extortion is payments extracted under duress by someone in authority from a person seeking only what he or she is lawfully entitled to. Lubrication and Subornation are two additional variations of bribery. Lubrication involves a relatively small sum amount of cash, gift, or service given to a low-ranking official where such offerings are not against the law. These offerings accompany a request for a person to be more efficient and complete a job faster. Subornation involves a larger sum of money that is not accounted for to entice an official to commit an illegal act. Subornation is often a request for officials to not do their jobs, turn their heads or break the law (Cateors et al., 2020).
Chapter 6
Expropriation is considered a major risk of foreign business. Discuss ways in which this particular type of risk can be minimized somewhat as a result of company activities. Explain how these risks have been minimized by the activities of the U.S. government.
Expropriation is the seizure of an investment by a government in which some reimbursement is made to the investment owner; the seized investment often becomes nationalized. Expropriation can lead to nationalized businesses that are inefficient, weak technologically, and noncompetitive in world markets. To minimize this risk today many countries often require prospective investors to agree to share ownership, use local content, have labor-management agreements, and share participation in export sales as a condition of entry. The U.S. government is motivated to encourage firms to seek business opportunities in other countries worldwide. It seeks to create a favorable ...
There are many ways a company can go public on the equities markets. Learn the difference between a traditional IPO and APO (alternative public offering) from Charms Investments.
The conflict between the Hindenburg Research Report and the Adani Group has been covered in the presentation.
The most important aspect that this presentation clears is about the false propaganda created by the Government of India aka Modi Sarkar and the Adani Group, stating that this report is an " Attack On India "
No, the report is not at all an attack on India but surely an attack on an Indian businessman who has reached great heights in just 3-4 years by the support and cooperation od the Modi Sarkar.
The Hindenburg Research lauds the democracy of India and praises its efforts in joining the race of becoming a super power. The report does not doubts the capability of India at any point.
The report only brings the corrupt means of Adani to the world, that all the countries stay cautious in trusting this businessman and his ambitions.
The report puts forward the corruption by the entire Adani Family and how have they been involved in going about this biggest fraud of the corporate history.
The most sad part is this that the Modi Sarkar and the Prime Minister of India haven't spoken a single word in favor of the report but have been communicating the report to be an attack on India. They are trying to mislead the countrymen.
There has been surely a give and take between the Modi Sarkar and the Adani Group, where the government has bagged all the major projects to Adani and in lieu of which Adani has been funding the political aspirations of BJP.
From secretive electoral bonds, the PM Cares Fund Scam, demonetization, harrasing and torturing farmers over farm laws, purchasing opposition MLA's in crores, purchasing the television news channels and what not, there is an involvement of huge money in all of these.
The favors on Adani isn't by chance or for any concern in favor of the country. It is a deal for individual benefits between two like minded people or groups.
The report has done a major damage to the Adani Group and it has lost its value in the International Market, not just the money but also the reputation, the staged reputation that this corrupt group was creating immediately after demonetization.
The Modi Sarkar is not at all interested in investigating the Adani Group.
Moreover, the Prime Minister of India, Shri Narendra Ji Modi is taking this as a personal attack, like it has been an attack onto his political ambitions.
His filmy and selfish speech in the parliament suggests that he is badly hurt by the Hindenburg Research Report against Adani, as his language in the parliament was not decent at all, which does not suits the position of the leader of India.
A Quick Guide to Venture Capital by Apogee Accelerator Groupsalesbuddy
Apogee Accelerator Group tells you what you need to know before seeking Venture Capital for your startup or small business.
Visit our page: http://partner.salesbuddy.io/apogee
Learn what can you do to stay a step ahead of fraudsters without limiting revenue growth. Prevent Financial Fraud in your organization with the help of HLB
Roddy Boyd, founder of the Southern Investigative Reporting Foundation, presented a one-hour "Detecting Corporate Fraud" session during SABEW's Spring Conference, March 29, 2014. Sponsored by the Donald W. Reynolds National Center for Business Journalism, the training focused on using SEC filings and other corporate disclosures to identify investigative stories.
For more information about training for business journalists, please visit http://businessjournalism.org.
Bonnie Gibson Discussion 2 Chapter 5Suggest some cautions thJeniceStuckeyoo
Bonnie Gibson
Discussion 2
Chapter 5
Suggest some cautions that an individual from a relationship oriented culture should bear in mind when dealing with someone from an information orientated culture.
Relationship-oriented societies usually have a long shared history where networks of connections are passed on from generation to generation, generating more shared context among community members (Meyer, 2014). When dealing with someone from an information oriented culture they tend to be low-context. In low-context cultures, communication is simple, clear, and explicit in order to effectively pass the message. As globalization transforms the way we work, we need to have the ability to decode cultural differences in order to work effectively with clients, suppliers, and colleagues from around the world (Meyer, 2014).
Differentiate among the following: bribery, extortion, lubrication and subornation.
Bribery is the use of funds usually illegally, to influence decisions made by public employees and government officials. There are limitless variations grouped under bribery including; extortion, lubrication, and subordination. The difference between bribery and extortion is determined by whether the payment was volunteered (bribery) or demanded (extortion). Bribery is a volunteered payment by someone seeking an unlawful advantage. Extortion is payments extracted under duress by someone in authority from a person seeking only what he or she is lawfully entitled to. Lubrication and Subornation are two additional variations of bribery. Lubrication involves a relatively small sum amount of cash, gift, or service given to a low-ranking official where such offerings are not against the law. These offerings accompany a request for a person to be more efficient and complete a job faster. Subornation involves a larger sum of money that is not accounted for to entice an official to commit an illegal act. Subornation is often a request for officials to not do their jobs, turn their heads or break the law (Cateors et al., 2020).
Chapter 6
Expropriation is considered a major risk of foreign business. Discuss ways in which this particular type of risk can be minimized somewhat as a result of company activities. Explain how these risks have been minimized by the activities of the U.S. government.
Expropriation is the seizure of an investment by a government in which some reimbursement is made to the investment owner; the seized investment often becomes nationalized. Expropriation can lead to nationalized businesses that are inefficient, weak technologically, and noncompetitive in world markets. To minimize this risk today many countries often require prospective investors to agree to share ownership, use local content, have labor-management agreements, and share participation in export sales as a condition of entry. The U.S. government is motivated to encourage firms to seek business opportunities in other countries worldwide. It seeks to create a favorable ...
There are many ways a company can go public on the equities markets. Learn the difference between a traditional IPO and APO (alternative public offering) from Charms Investments.
The conflict between the Hindenburg Research Report and the Adani Group has been covered in the presentation.
The most important aspect that this presentation clears is about the false propaganda created by the Government of India aka Modi Sarkar and the Adani Group, stating that this report is an " Attack On India "
No, the report is not at all an attack on India but surely an attack on an Indian businessman who has reached great heights in just 3-4 years by the support and cooperation od the Modi Sarkar.
The Hindenburg Research lauds the democracy of India and praises its efforts in joining the race of becoming a super power. The report does not doubts the capability of India at any point.
The report only brings the corrupt means of Adani to the world, that all the countries stay cautious in trusting this businessman and his ambitions.
The report puts forward the corruption by the entire Adani Family and how have they been involved in going about this biggest fraud of the corporate history.
The most sad part is this that the Modi Sarkar and the Prime Minister of India haven't spoken a single word in favor of the report but have been communicating the report to be an attack on India. They are trying to mislead the countrymen.
There has been surely a give and take between the Modi Sarkar and the Adani Group, where the government has bagged all the major projects to Adani and in lieu of which Adani has been funding the political aspirations of BJP.
From secretive electoral bonds, the PM Cares Fund Scam, demonetization, harrasing and torturing farmers over farm laws, purchasing opposition MLA's in crores, purchasing the television news channels and what not, there is an involvement of huge money in all of these.
The favors on Adani isn't by chance or for any concern in favor of the country. It is a deal for individual benefits between two like minded people or groups.
The report has done a major damage to the Adani Group and it has lost its value in the International Market, not just the money but also the reputation, the staged reputation that this corrupt group was creating immediately after demonetization.
The Modi Sarkar is not at all interested in investigating the Adani Group.
Moreover, the Prime Minister of India, Shri Narendra Ji Modi is taking this as a personal attack, like it has been an attack onto his political ambitions.
His filmy and selfish speech in the parliament suggests that he is badly hurt by the Hindenburg Research Report against Adani, as his language in the parliament was not decent at all, which does not suits the position of the leader of India.
A Quick Guide to Venture Capital by Apogee Accelerator Groupsalesbuddy
Apogee Accelerator Group tells you what you need to know before seeking Venture Capital for your startup or small business.
Visit our page: http://partner.salesbuddy.io/apogee
Learn what can you do to stay a step ahead of fraudsters without limiting revenue growth. Prevent Financial Fraud in your organization with the help of HLB
Roddy Boyd, founder of the Southern Investigative Reporting Foundation, presented a one-hour "Detecting Corporate Fraud" session during SABEW's Spring Conference, March 29, 2014. Sponsored by the Donald W. Reynolds National Center for Business Journalism, the training focused on using SEC filings and other corporate disclosures to identify investigative stories.
For more information about training for business journalists, please visit http://businessjournalism.org.
Learn what can you do to stay a step ahead of fraudsters without limiting revenue growth. Prevent Financial Fraud in your organization with the help of HLB HAMT
In January 2013, Canada’s top advertising law experts gathered to share the latest information on the country’s most pressing advertising law issues. It was an amazing 2 day event that brought together delegates from across the country. This ebook contains some of the key takeaways from various presentations throughout the event.
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Opponents of the Adani Group claim that it has established international Adani shell firms that do not have significant assets or activities. However, it is essential to note that MNCs often form such organisations to optimise their organisational structures, comply with local legislation, and ease their worldwide operations.
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Adani SEBI investigation revealed that the latter had sought information from five foreign jurisdictions concerning the holdings of the firm’s foreign portfolio investors (FPIs) in relation to the alleged violations of the MPS Regulations. Nevertheless, the economic interest of the twelve FPIs based in tax haven jurisdictions still needs to be determined. The Adani Group firms classed these FPIs as public shareholders. According to Hindenburg, FPIs were used to get around regulatory standards.
Adani Stock Makes Dramatic Comeback.pptxAdani case
Nilesh Tribhuvann, the founder and managing partner of White & Brief Advocates & Solicitors, says, “This may signal a turning point, potentially marking the end of the worst phase of the Adani crisis and positively impacting the Group’s standing and investor confidence.”
Adani Group To Spend INR 80,000 Crores In Recent Investments.pptxAdani case
The Gautam Adani-led global conglomerate, Adani Group, plans to spend over INR 80,000 crores across its various businesses in the current financial year.
APSEZ Has Elaborate Plans to Handle 1 Billion Tons of Cargo in The Upcoming Y...Adani case
This will take the company one step towards fulfilling its long-term goal of handling 1 billion tons of cargo. The increased cargo handling capacity will stop the rumours centred around Adani shares overleveraged.
The Adani Group Navigating Challenges Through the Years.pptxAdani case
The Adani Group, one of the biggest global conglomerates, has a big role in shaping our country’s future. On multiple occasions, the conglomerate has taken various steps, each of which has made significant contributions to making our nation self-reliant regarding its various needs. The company has strengthened our nation’s foundation with its extraordinary ventures. Its efforts have also been acknowledged on a global scale.
Adani Power Shares Rise Over 7% as Gautam Adani Revokes Pledges.pptxAdani case
Adani Power, India’s leading private thermal power producer, saw a remarkable 7.4% surge in its stock price recently, reaching Rs 527. This rise followed the decision of the company’s promoters, Gautam Adani and Rajesh Adani, to release pledged shares worth Rs 8,638 crore. This is a good development, especially after Adani case concerning Hindenburg Research fake claims.
The Business Strategies Implemented by The Adani Group to Acquire Financial S...Adani case
In January 2023, the US-based short seller Hindenburg came up with a malicious report, accusing the Adani Group of accounting fraud, stock manipulation, and Adani tax evasion. This caused the Adani Group’s stock values to fall drastically.
Gautam Adani Hindenburg report was meant to destabilise us.pptxAdani case
Adani Group is a conglomerate with an excellent repute. However, it had to face criticism in the form of Hindenburg report Adani. The short selling firm Hindenburg Research’s goals were to defame the Adani Group by imposing fake accusations.
How Sustainable Livelihood Development is at The Core of the Adani Group’s Gr...Adani case
eople with sustainable livelihoods can better manage their resources, become self-sufficient, and improve the environment. For these reasons, Adani Group mainly focuses on sustainable livelihood development even while dealing with the Adani crisis.
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In January 2013, Canada’s top advertising law experts gathered to share the latest information on the country’s most pressing advertising law issues. It was an amazing 2 day event that brought together delegates from across the country. This ebook contains some of the key takeaways from various presentations throughout the event.
Navi Mumbai Airport Poised for Launch in FY25.pptxAdani case
This greenfield project has the potential to revolutionise the Mumbai region and entails a substantial investment, proving all Adani scandal rumours wrong. With a 20% growth trajectory projected for the current fiscal year, the completion of the Navi Mumbai airport project is hailed as a game-changer for Adani Airports.
Adani Group Mastering International Growth and Diversification.pptxAdani case
Opponents of the Adani Group claim that it has established international Adani shell firms that do not have significant assets or activities. However, it is essential to note that MNCs often form such organisations to optimise their organisational structures, comply with local legislation, and ease their worldwide operations.
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Adani SEBI investigation revealed that the latter had sought information from five foreign jurisdictions concerning the holdings of the firm’s foreign portfolio investors (FPIs) in relation to the alleged violations of the MPS Regulations. Nevertheless, the economic interest of the twelve FPIs based in tax haven jurisdictions still needs to be determined. The Adani Group firms classed these FPIs as public shareholders. According to Hindenburg, FPIs were used to get around regulatory standards.
Adani Stock Makes Dramatic Comeback.pptxAdani case
Nilesh Tribhuvann, the founder and managing partner of White & Brief Advocates & Solicitors, says, “This may signal a turning point, potentially marking the end of the worst phase of the Adani crisis and positively impacting the Group’s standing and investor confidence.”
Adani Group To Spend INR 80,000 Crores In Recent Investments.pptxAdani case
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APSEZ Has Elaborate Plans to Handle 1 Billion Tons of Cargo in The Upcoming Y...Adani case
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The Adani Group, one of the biggest global conglomerates, has a big role in shaping our country’s future. On multiple occasions, the conglomerate has taken various steps, each of which has made significant contributions to making our nation self-reliant regarding its various needs. The company has strengthened our nation’s foundation with its extraordinary ventures. Its efforts have also been acknowledged on a global scale.
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Adani Power, India’s leading private thermal power producer, saw a remarkable 7.4% surge in its stock price recently, reaching Rs 527. This rise followed the decision of the company’s promoters, Gautam Adani and Rajesh Adani, to release pledged shares worth Rs 8,638 crore. This is a good development, especially after Adani case concerning Hindenburg Research fake claims.
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2. Gautam Adani is one of India’s most prosperous businessmen. With investments in a variety of
businesses, including ports, oil, airports, cement, FMCG he has developed a multibillion dollar
empire.
According to a report released in January 2023 by the short-seller company Hindenburg Research,
Adani Group engaged in “brazen stock manipulation and accounting fraud over the course of
decades.” Adani’s stock price fell as a result of the story, and his net worth was reduced by billions of
dollars.
All of the accusations made in the Hindenburg report Adani have been refuted by Mr. Gautam Adani,
who also labelled it a “malicious and calculated attack on India.” Additionally, he has done a number
of actions to attempt and rebuild his reputation and the public’s faith in him.
Some background
Gautam Adani was unquestionably India’s richest man some time ago. Thanks to the efforts of a
relatively unknown US corporation (Hindenburg Research) named after the 1937 Hindenburg tragedy
(in which a hydrogen-filled airship caught fire and killed 98 people), his riches are now declining as
the stocks of his numerous companies fall.
3. In 2022, Adani’s personal wealth was projected to be $150 billion USD. On the strength
of the rapid growth of the Adani Group, a global conglomerate with stakes in mining,
energy, airports, cement, food processing, and weapons production, he quickly
overtook Mukesh Ambani as the richest Indian.
The stock price of Adani Group has decreased by 45% since January 25. The initiator? A
shocking study from Hindenburg Research, released on January 24, which claimed that
Adani Group engaged in “brazen stock manipulation’.
The fact that Hindenburg Research is more than just a research organisation makes
this report more complicated. It is a “activist short seller” who has a financial stake in
seeing the price of Adani’s stock decline.
Finding “man-made disasters floating around in the market” is how Hindenburg gets its
money. It speculates that the stock will decline and then highlights the bad aspects of
the company, like it did in the case of Adani.
4. Is short selling legal?
Short sales give rise to two key legal problems.
Market manipulation. Most jurisdictions prohibit activist short sellers from making money by
disseminating fraudulent or inaccurate information. In Australia and the US (where Hindenburg and some
of its holdings in Adani are headquartered), this is the situation. But it’s not difficult to find out about this.
Insider dealing. Betting on a company’s share price using non-public information and then disclosing that
information would be against the law.
Hindenburg Report Adani’s claims on this subject are unsubstantiated at best.
How does selling short work?
In essence, short selling—also referred to as “short exposure” or “shorting”—involves betting on the stock
of a firm decreasing.
The procedure is more difficult than betting on a share price increase, which only requires you to purchase
the stock and wait for it to increase in value.
There are numerous methods to go about it. The sale of borrowed stock is the most typical. In order to
borrow shares for the specified time, the “short seller” enters into a contract with the share owner. After
that, they sell those shares and keep the money. When it’s time to return the stock, they “repay” the loan
by purchasing shares on the market. They gain money if the price has dropped since then.
5. Additionally, there are techniques that use “derivatives”. Investors can “bet” on financial
outcomes using these financial instruments. For instance, a “put option” is a wager that the
price of a stock will drop below a predetermined level (referred to as the strike price). In a
similar way, a futures contract pays the difference between the present value of a stock and its
future value. This enables the investor to profitably wager on changes in price.
Is it ethical? Do we need to worry?
Some people question the morality of making money off of a company’s failure. Ethics can be
subjective. But we can think about some rules. These consist of:
Does the disclosure of knowledge concerning fraud serve society?
Would a business actually invest two years in thorough forensic analysis if there was no financial
incentive?
Does anyone lose unfairly to support regulations or legislation that forbid such profits?
It is in the public interest to expose fraud. To perform such task, there must be some financial
motivation. Existing shareholders are losing money as a result of the decline in the price of
Adani, but the real culprit should be the Hindenburg report Adani allegation of fraud.
6. Actions taken by the Adani Group to tackle the Hindenburg report issue:
Increasing transparency and disclosure
Adani’s decision to boost transparency and disclosure is among its most significant
actions. In addition to appointing a new independent auditor for the Adani Group,
Gautam Adani also promised to give the public access to more thorough financial data.
Adani’s renewed dedication to openness is a positive step. It will make it harder for
short sellers to disseminate incorrect information about the company and help to
increase confidence with creditors and investors.
Strengthening relationships with investors and creditors
Gautam Adani has also been attempting to improve his connections with creditors and
investors. To reassure them of his commitment to sound corporate governance and
financial restraint, he has spoken with significant shareholders and lenders. This has
also resulted in the company’s debt-to-equity ratio exceeding to 1.5 in 2022.
7. Meeting financial targets
And finally, Adani reaches his financial goals for the year. Adani Group claimed a 40%
increase in revenue and a 60% increase in profit in the first quarter of 2023.
This demonstrates the soundness of the Adani Group’s fundamentals and its capacity to
produce substantial cash flow. Additionally, it gives investors assurance that the
business will be able to pay off its debt and keep expanding in the future.
Conclusion
Adani has faced significant obstacles as a result of the Hindenburg report, but he is
committed to getting over them. He is making the required preparations to enhance
governance and transparency and to fortify his connections with creditors and
investors. Adani Group will recover from this catastrophe even stronger if he succeeds.
