Sebi chief refrains from commenting on real estate investment trusts, ET RealEstate

September 2, 2024
1 min read
Sebi chief refrains from commenting on real estate investment trusts, ET RealEstate


<p>Representative image </p>
Representative image

MUMBAI: Capital markets regulator Sebi Chief Madhabi Puri Buch on Monday refrained from commenting on the investment vehicle, Real Estate Investment Trusts (REITs), saying if she comments on the subject she will be accused of conflict of interest. The remarks came as US short-seller Hindenburg Research raised questions about a potential conflict of interest involving Buch and private equity major Blackstone.

Her husband Dhaval Buch is a senior advisor with Blackstone, a major player in the REIT space. However, the couple refuted the allegations. Also, Hindenburg alleged that Sebi‘s recent amendments to REIT regulations 2014 favoured a specific financial conglomerate, which the markets regulator denied.

Speaking at an event organised by industry body CII, Buch said,” If I utter the word REITs, I am accused of conflict of interest”.

REITs are a new concept in the Indian market but have been a popular choice globally for their lucrative returns and capital appreciation.

A REIT is made up of a portfolio of commercial real estate assets, the majority of which are already leased out.

Meanwhile, the Congress on Monday levelled fresh conflict of interest allegations against Buch and asked Prime Minister Narendra Modi to come clean as the head of the appointments committee of the cabinet on her appointment.

At a press conference, the Congress alleged that since the current Sebi chairperson took office in 2017, she has not only been drawing a salary from Sebi but has also been holding an office of profit at the ICICI Bank, continuing to receive income from them to this very day.

Sebi didn’t make any comment on the allegations made by the Congress.

Last week, the Sebi Chief stated that there has been a positive response to small and medium REITS (real estate investment trusts) and industry players came forward for regulations on such entities.

Recently, the Securities and Exchange Board of India (Sebi) implemented regulations for small and medium real estate investment trusts (SM REITS) aimed at significantly increasing investor interest in fractional ownership of real estate assets.

  • Published On Sep 2, 2024 at 05:00 PM IST

Join the community of 2M+ industry professionals

Subscribe to our newsletter to get latest insights & analysis.

Download ETRealty App

  • Get Realtime updates
  • Save your favourite articles


Scan to download App
realty barcode



Source link

curationteam

Curation Team will curate content from different sources and present for you. We will not edit any content. Source link is provided for the source from where its received .

Leave a Reply

Your email address will not be published.

Architectural Digest logo
Previous Story

This Cozy Connecticut Farmhouse Ups the Ante on Countryside Living

A Small, Minimalist Home in Melbourne Embraces Serenity and Joy
Next Story

A Small, Minimalist Home in Melbourne Embraces Serenity and Joy

Latest from Blog