The Congress on Tuesday leveled new charges against Madhabi Puri Buch, chairman of the Securities and Exchange Board of India (Sebi), alleging that her husband Dhaval Buch earned Rs 4.78 million from Mahindra and Mahindra (M&M) between 2019 and 2021.

According to Congress leader Pawan Khera, Sebi issued roughly four directives pertaining to M&M during this time period.

M&M refuted the charges, calling them "false and misleading". However, it noted that Dhaval Buch was engaged by Mahindra Group in 2019 "specifically for his expertise in supply chain and sourcing" following his retirement as Unilever's global chief procurement officer.

We unequivocally clarify that we never asked SEBI for special treatment. "We uphold the highest standards of corporate governance," the manufacturer stated in an exchange filing.

Dhaval Buch serves on the board of Bristlecone, a subsidiary of M&M. "He joined the Mahindra Group nearly three years before Ms. Madhabi Puri Buch was appointed as Sebi chairperson." M&M stated that "Mr Buch's compensation was precisely tailored to his supply chain skills and managerial aptitude, based on his worldwide experience at Unilever."

The group stated that none of the orders or approvals included in the Congress party's charges were relevant since three of them did not apply to the company or its subsidiaries, and one was a fast-track rights issuance that did not require Sebi permission. Another directive cited by the Congress as a conflict of interest came from March 2018, before Dhaval Buch began working with the Mahindra company.

The opposition party said that Puri Buch's consultancy business, Agora Advisory, got payments from M&M, Dr Reddy's Lab, Pidilite, ICICI Bank, and two other companies while she was a market regulator.

Puri Buch and her husband Dhaval Buch co-founded the consultancy business Agora Advisory.

"This is a case of willful concealment" and conflict of interest, Khera stated, adding that his party will provide further material this week. "The companies that have financial relationship with Agora are all being adjudicated by Sebi."

Khera emphasized that the advising firm was "active," despite the Sebi chairperson's claims that it had gone inactive during her tenure. Hindenburg, a short-seller located in the United States, alleged in a follow-up report that Agora earned Rs 2.54 crore during fiscal years 21 and 24.

The Ministry of Corporate Affairs of India's website listed Dhaval as the director of Agora Advisory.

Khera claimed that the rental revenue from a corporation linked with Wockhardt, a pharmaceutical and biotechnology company, was corrupt. Last Monday, the Congress accused Buch of having a financial tie with the business while heading Sebi's probe into Wockhardt, alleging a conflict of interest.

"We firmly dispute these charges, claiming that they are totally false and deceptive. The company has acted and continues to act in accordance with all applicable laws," Wochkardt stated in an exchange filing on Friday.

Buch was originally appointed as a full-time Sebi member in April 2017. She left office in October 2021 and rejoined the securities regulator as chairman in March 2022.

Both Sebi and the Buchs released separate comments refuting all of the charges, calling them false and an effort at character assassination. The Congress party also questioned Buch's claimed payments and ESOPs from her former employer, ICICI Bank, both in terms of quantity and regularity of disbursements.

The private lender denied the accusations, claiming Buch was neither paid a salary or given any ESOPs until her resignation in October 2013. The bank further said that its workers might exercise their ESOPs at any time after they vested, up to ten years later.