(Image source from: Ndtv.com)

Indian billionaire Gautam Adani experienced a significant increase in his net worth of 5.6 billion dollars (Rs 46,663 crore) last week, largely due to the strong performance of Adani Group companies' stocks. This comes after a challenging period in which Adani faced allegations of financial irregularities from American short-seller Hindenburg, leading to a substantial decline in his net worth. However, the Supreme Court has reserved its verdict on the probe into these allegations, stating that media reports alone shouldn't be considered as the ultimate truth.

The market interpreted this remark as a positive development and invested heavily in the Adani Group companies throughout the week. Bloomberg reported that on Tuesday alone, the conglomerate's market value rose by 12 billion dollars. Hindenburg's accusation of stock market manipulation was staunchly rejected by the Gautam Adani Group.

Abhay Agarwal, founder and portfolio manager at Piper Serica Advisors in Mumbai, stated that the general sentiment regarding the controversy is to disregard the Hindenburg allegations. The court had instructed the Securities and Exchange Board of India (SEBI) to investigate Hindenburg's claims against the Adani Group. The overall outcome of the controversy caused the group to lose 153 billion dollars in market value. However, over the past few months, the group has managed to regain a significant portion of that lost value.

An expert panel, consisting of six members appointed by the court, submitted an interim report in May, stating that they found no evidence of regulatory failure or price manipulation in Adani stocks. This has further supported the conglomerate's position and contributed to the restoration of confidence in the Adani Group.