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Friday, January 17, 2025

Big relief for GST taxpayers: Protection against arbitrary arrest and coercion by GST officers; CBIC changes arrest and bail guidelines under GST

 

Now a Goods and Service Tax (GST) proper officer can't arbitrarily arrest a GST registered person due to a recent amendment in GST arrest instructions. Moreover, now GST proper officers have to explain to the taxpayers about the 'grounds of arrest' and also obtain a written acknowledgement from them about their understanding of the explanation.

The Goods and Services Tax Investigation wing has amended para 4.2.1 of its instruction dated August 17, 2022. Amended para 4.2.1 now reads as follows: "The grounds of arrest must be explained to the arrested person and also furnished to him in writing as an Annexure to the Arrest Memo. Acknowledgement of the same should be taken from the arrested person at the time of service of the Arrest Memo." A notification intimating this amendment in guidelines for arrest and bail in relation to offences punishable under CGST Act, 2017 was published on January 13, 2025 by Central Board of Indirect Taxes and Customs (CBIC).

Read below to find out how this new amendment can help you.

Effective implementation of these guidelines will need awareness among businessmen


According to SR Patnaik, Partner (head - taxation), Cyril Amarchand Mangaldas, "This Instruction is expected to reduce arbitrary detentions, which was used as a coercive tool against taxpayers to admit liabilities. These guidelines will not only promote procedural fairness but also provide a sense of security to businessmen. However, effective implementation of the guidelines would require taxpayers knowing about their rights in the first place."

Experts say sometimes field officers of GST do not follow these instructions and work arbitrarily.

Chartered Accountant Bimal Jain, founder, A2Z Taxcorp LLP, says, "These instructions are good and need to be abided by the field officers. But the irony is that sometimes these instructions about arrest guidelines are not followed at the ground level."

Sandeep Chilana, Advocate, Supreme Court of India, says that these amended instructions emphasise that there is a significant difference in the phrase 'reasons for arrest' and 'grounds of arrest'. "The 'reasons for arrest' as indicated in the arrest memo are purely formal parameters, whereas the 'grounds of arrest' would be required to contain all such details in hand of the Investigating Officer which necessitated the arrest of accused."

New arrest and bail rule will allow better defense by GST taxpayers

Jain highlights how the taxpayer who got arrested can now expect a better defence strategy from his/her lawyer since the reason for arrest has to be explained and a copy of it needs to be given at the time of arrest. "This instruction gives clarity to the taxpayer about why he is being arrested and also gives a chance to his lawyer to prepare a defence strategy before the hearing starts in the court. As per this instruction now the grounds of arrest must be explained to the arrested person and also furnished to him in writing as an Annexure to the Arrest Memo," he says.

Patnaik says: “The CBIC had issued guidelines outlining the conditions and procedure relating to arrest and bail for offences under the GST legislations. The procedure provided to inform grounds for arrest to the accused. Now, in furtherance of a recent decision by the Hon’ble Delhi Court, the CBIC has amended the guidelines to mandate that an accused must be informed in writing about the facts and circumstances leading to his arrest. This amendment would allow an accused an opportunity to defend himself against custodial remand and also to seek bail. This reinforces the principles of natural justice, ensuring transparency and safeguarding the rights of individuals against arbitrary actions of the tax department.”

Kamal Aggarwal, Senior Partner, Singhania & Co, explains the above amended Instruction draws a clear distinction between 'grounds of arrest' and 'reasons for arrest'.

Aggarwal says while the 'reasons for arrest' are general, formal justifications like preventing further offenses, the 'grounds of arrest' now refer to specific facts known to the Investigating Officer that directly justify the arrest of an individual. "This shift ensures that taxpayers are protected from arbitrary arrests and are given a fair opportunity to defend themselves, as the grounds must be detailed and not merely a formality. This change enhances transparency and fairness in the arrest process," he says.

When can a GST registered person be arrested?


According to Patnaik, arrest under the GST legislations is only permissible where there is clear evidence of the intent to evade tax or commit acts leading to availment or utilisation of wrongful Input Tax Credit (ITC) or fraudulent claim or refund of tax.

"The decision to arrest also depends on various factors such as the possibility of tampering with evidence or intimidating or influencing witnesses, to ensure proper investigation. Honest mistakes, or cases of difference of opinion with the tax department cannot lead to arrests," says Patnaik.

Why GST department issued such an amendment in arrest guidelines


Chilana explains that prior to this new amendment in GST arrest guidelines the commissioner was recording reasons of arrest but the arrested person was only provided with formal reasons which did not detail out the allegations against him.

One such arrest prepared the ground for this amendment. Chilana says, "One such arrest was challenged before the Delhi High Court in Kshitij Galdiyal case wherein the High Court replying of Supreme Court judgment in Pankaj Bansal's case held that an arrested person must be provided with the grounds of arrest which must be cursory or casual but crystallised.

Chilana adds, "In furtherance of the judgment of Delhi High Court in Kshitij Galdiyal case, CBIC has issued the instruction no. 1/2025 directing its field formation that the officers exercising arrest powers under the CGST Act must explain the grounds of arrest to the individual being detained and provide a copy of the same to such person at the time of arrest."

Chartered Accountant Ashish Karundia, says, "The recent update to the 2022 guidelines on arrest and bail for GST offences is a positive move towards ensuring transparency in the legal process before any individual is arrested. It reduces the risk of anyone bypassing necessary procedures. The update clarifies the difference between the ‘reasons for arrest’ i.e., where the commissioner believes the person has committed a specified offence and is likely to continue doing so and the ‘grounds for arrest’ which refers to the actions that show the person’s involvement in the offence. It also requires that the ‘grounds of arrest’ be communicated in writing to the accused, replacing the previous requirement for oral communication, and mandates that an acknowledgement of receipt is obtained to prevent disputes about whether the communication was made."

Jain says the Supreme Court of India in its landmark judgement D.K Basu also stressed on this aspect.

Jain says: "We live in a society where the revenue officer perceives a person guilty even before he/she is proven guilty by the courts. Merely just by arresting a person he/she is not guilty. The Supreme Court has held multiple times, "Innocent until proven guilty." So, if a GST registered person is arrested from his home or place of business, etc then his reputation, goodwill, everything will be destroyed despite him being pronounced innocent by the court later on. He/she will face a social stigma. Hence arrest should be the last resort in civil cases like GST law violation. The Honourable Supreme Court in the landmark judgement 'D.K Basu' said, arrest should be the last step and for economic offences arrest should not be taken in a casual manner. The Apex Court said, "Bail is a rule, jail is an exception."

SpaceX's Starship explodes in space after launch, forces flights to divert SpaceX mission control lost contact with the newly upgraded Starship, carrying its first test payload of mock satellites, eight minutes after liftoff from its South Texas rocket facilities ;-The Business Standard

 


A SpaceX Starship rocket broke up in space minutes after launching from Texas on Thursday, forcing airline flights over the Gulf of Mexico to alter course to avoid falling debris and setting back Elon Musk's flagship rocket program.
 
SpaceX mission control lost contact with the newly upgraded Starship, carrying its first test payload of mock satellites but no crew, eight minutes after liftoff from its South Texas rocket facilities at 5:38 p.m. EST (2238 GMT).
 
Video shot by Reuters showed orange balls of light streaking across the sky over the Haitian capital of Port-au-Prince, leaving trails of smoke behind.
 
"We did lose all communications with the ship - that is essentially telling us we had an anomaly with the upper stage," SpaceX Communications Manager Dan Huot said, confirming minutes later that the ship was lost.
Dozens of commercial flights diverted to other airports or altered course to avoid potential debris, according to flight tracking website FlightRadar24. Departures from airports in Miami and Fort Lauderdale, Florida, were also delayed by about 45 minutes, it added.
 
The Federal Aviation Administration, which regulates private launch activities, said it had briefly slowed and diverted planes around the area where space debris was falling, but normal operations had since resumed.
The FAA regularly closes airspace for space launches and reentries, but it can create a "debris response area" to prevent aircraft from entering if the space vehicle experiences an anomaly outside the originally closed zone.
 
SpaceX CEO Musk posted a video on X showing the debris field and said: "Success is uncertain, but entertainment is guaranteed!"

The failure came a day after Blue Origin, billionaire Amazon founder Jeff Bezos' space company, successfully launched its giant New Glenn rocket into orbit for the first time.
'NEW GENERATION SHIP'
The Starship upper stage, 2 meters (6.56 feet) taller than previous versions, was a "new generation ship with significant upgrades," SpaceX said in a mission description prior to the test. It was due to make a controlled splashdown in the Indian Ocean roughly an hour after its launch from Texas.
 
Musk said a preliminary assessment of the failure showed an internal leak of liquid oxygen fuel built up pressure and led to the rocket's breakup.
 
The FAA is likely to open a mishap investigation that would ground Starship - as the agency has done in the past - and examine whether any of the debris from the rocket's mid-flight blast fell on populated areas or outside of Starship's predetermined hazard zone.
The mishap threatens to derail Musk's goal to launch at least 12 Starship tests this year, depending on how quickly SpaceX can implement fixes and whether the FAA opens a mishap investigation.
 
"Nothing so far suggests pushing next launch past next month," Musk said.
 
The billionaire, who was appointed to a new government cost-cutting role by incoming President Donald Trump, has repeatedly criticized the FAA for overreaching and making politically-motivated decisions.
 
Musk called for FAA chief Mike Whitaker to resign in September, shortly after the FAA fined SpaceX and delayed one of its launches. Whitaker said in December he would step down before the start of Trump's term. A replacement has not been named.
The mission on Thursday was SpaceX's seventh Starship test since 2023 in Musk's multibillion-dollar effort to build a rocket capable of ferrying humans and cargo to Mars, as well as deploying large batches of satellites into Earth's orbit.
 
SpaceX's test-to-failure development approach has in the past included spectacular failures as the company pushes Starship prototypes to their engineering limits. Thursday's test failure, though, occurred in a mission phase that SpaceX has flown through previously.
 
The towering Super Heavy booster, meanwhile, returned to its launchpad roughly seven minutes after liftoff, as planned, slowing its descent from space by reigniting its Raptor engines as it hooked itself on giant mechanical arms fixed to a launch tower.
 


Twin Peaks' maker David Lynch passes away at 78: tributes pour in American filmmaker David Lynch passed away from complications related to emphysema, a chronic lung condition he attributed to years of heavy smoking ;-The Business Standard


Celebrated American filmmaker known for his surreal storytelling and hauntingly unique style, David Lynch has died at the age of 78. Lynch, whose works like "Mulholland Drive" and "Twin Peaks" explored the darker layers of human existence, passed away from complications related to emphysema, a chronic lung condition he attributed to years of heavy smoking.  
 
Lynch’s family announced his death through a statement on his official Facebook page, saying, “There’s a big hole in the world now that he’s no longer with us. But, as he would say, ‘Keep your eye on the donut and not on the hole.’” The family also requested privacy during this time.  
Born in Montana in 1946, Lynch began his artistic journey as a painter before transitioning to filmmaking. His debut feature, "Eraserhead" (1977), a nightmarish exploration of fatherhood, marked his arrival as a groundbreaking voice in indie cinema. Over the years, he crafted films that challenged conventional storytelling, including "Blue Velvet" (1986), "Wild at Heart" (1990), and "Mulholland Drive" (2001). Each of these earned him critical acclaim and cemented his reputation as a cinematic auteur.  
Lynch’s foray into television with "Twin Peaks" in the 1990s was equally transformative. The series, with its eerie narrative of small-town secrets, set the stage for the modern era of prestige television. In 2017, he revisited the series with "Twin Peaks: The Return", receiving widespread praise for its innovative storytelling.  
 
Throughout his career, Lynch received four Oscar nominations, including three for Best Director. Though he never won a competitive Academy Award, he was honoured with an honorary Oscar in 2019 for his contributions to cinema.  
David Lynch death: Tributes from Hollywood
  
The film industry has responded to Lynch’s death with an outpouring of tributes. Director Steven Spielberg hailed him as “a singular, visionary dreamer who directed films that felt handmade.” Ron Howard described Lynch as a “fearless artist” whose bold experimentation left an indelible mark on cinema. Lynch’s legacy extends beyond filmmaking. He was a painter, musician, and sculptor, leaving behind a rich and varied body of work that will continue to inspire future generations.

David Lynch death: Tributes from Hollywood
  
The film industry has responded to Lynch’s death with an outpouring of tributes. Director Steven Spielberg hailed him as “a singular, visionary dreamer who directed films that felt handmade.” Ron Howard described Lynch as a “fearless artist” whose bold experimentation left an indelible mark on cinema. Lynch’s legacy extends beyond filmmaking. He was a painter, musician, and sculptor, leaving behind a rich and varied body of work that will continue to inspire future generations. 
As his "Twin Peaks" collaborator Chrystabell wrote, “I join you in the depths of this grief… celebrating someone who is singular and irreplaceable.” 


Saif Ali Khan stabbed: What CCTV footage reveals about the attempted burglary Saif Ali Khan stabbed: The attack reportedly took place around 2.30 am on Thursday, January 16. Some reports claim that a thief stabbed Saif Ali Khan. Police are scanning CCTV footage to identify the attacker. Here's what we know so far. Livemint Updated 16 Jan 2025, 01:05 PM IST:

 


Bollywood star Saif Ali Khan was stabbed by an intruder at his residence, 'Satguru Sharan' building, located in Mumbai’s Bandra area, in the early hours of Thursday. The actor sustained six injuries and was immediately rushed to Lilavati Hospital for treatment. According to hospital authorities, surgery was performed on Saif Ali Khan following the attack.

The incident reportedly occurred around 2:30 am during the intervening night of Wednesday and Thursday.

Saif Ali Khan was attacked by an unidentified person at his house. He was brought in at 3:00 am by the caretaker. He has six wounds from sharp objects like knives, etc., of which two wounds are deep and one close to his spine,” Dr Niraj Uttamani, Chief Operating Officer (COO) of Lilavati Hospital, told news agency 

Uttamani said a small piece of foreign body close to the spine was identified. “The extent of the damage will be understood once the surgery is completed,” the Lilavati Hospital COO said.

Here are all the details about ‘Saif Ali Khan attacked’ incident:

Saif Ali Khan stabbed: What led to the knife attack?

Some reports claim that Saif Ali Khan was stabbed by a thief. A message from Saif Ali Khan's PR team confirmed a burglary attempt at his house. The PR team's message read, “There was an attempted burglary at Saif Ali Khan's residence. He is currently in hospital undergoing surgery. We request the media and fans to be patient. It is a police matter.”

Was there a scuffle between Saif and the 'thief'?

The Mumbai Police investigating the attack said, “The actor and the intruder had a scuffle.”Meanwhile, police reports stated that the intruder initially had a confrontation with Saif Ali Khan's maid. “As the actor intervened to defuse the situation, the intruder became aggressive, resulting in a scuffle,” news agency ANI reported.

Saif Ali Khan stabbed: How did the attacker enter his house? What CCTV footage reveal?

Police sources told NDTV that CCTV cameras at Saif Ali Khan's home did not capture anyone entering the premises within two hours before the attack. Police suspect that the attacker entered the actor's home earlier and hid inside.

But how did the attacker enter the actor's home? It is not yet known. Police are investigating the matter and scanning CCTV footage to identify the attacker.

Who was the attacker?

Saif Ali Khan's attacker is suspected to be related to one of the house helps, who also gave him entry into the actor's home, sources in the police told NDTV. Police are reportedly questioning this house help.


‘Saint Meloni with the infant Musk’: French satirical weekly Charlie Hebdo mocks Elon Musk with caricatures French satirical magazine Charlie Hebdo announced it would remain on X, unlike other media outlets, and instead published a series of caricatures mocking the platform's owner, Elon Musk.:-livemint

 

Updated
17 Jan 2025, 07:11 AM IST
French satirical weekly Charlie Hebdo mocks X CEO Elon Musk by sharing a list of caricatures on a micro-blogging site. (Photo: X)
French satirical weekly Charlie Hebdo mocks X CEO Elon Musk by sharing a list of caricatures on a micro-blogging site. (Photo: X)

French satirical magazine Charlie Hebdo said on Thursday that it would remain on X, unlike other media outlets, and instead published a series of caricatures mocking the platform's owner, Elon Musk.

It is to be further noted that the billionaire tech mogul, an ally of US President-elect Donald Trump, has been criticized for fostering disinformation on the network formerly known as Twitter, AFP  reported.

“Elon Musk prides himself on defending freedom of speech. Charlie Hebdo has decided to make full use of it by publishing cartoons of its famous boss on X,” the magazine said in a statement sent to AFP.

A total of 19 drawings, published in Charlie Hebdo's latest issue and translated into English, will be posted on the social media network by Friday. Moreover, in post on X, Hebdo said, “Hi Elon Musk! We hope you like our idea of freedom of expression. Please, don't hesitate to tell us which design you like best.”

Following the 10th anniversary of the attack on its offices by two Al-Qaeda-linked gunmen that killed 12 people, Charlie Hebdo's latest drawings display its signature sharp humor. One caricature features Tesla CEO Elon Musk being lifted in a car by four displeased servants, accompanied by the caption, “MUSK: MAKING CARS FOR MASTER RACES.”

Photo; Charlie Hebdo/X

The incoming head of the United States' Department of Government Efficiency was already featured on the magazine's last front page.

Titled "Elon Musk, the extreme right of the future", the cover shows the SpaceX CEO bursting from the chest of French far-right figure Jean-Marie Le Pen, who died on January 7, in a nod to the Ridley Scott horror film “Alien”.

Since Elon Musk's acquisition of X in 2022, the platform has faced criticism from media outlets and users for spreading misinformation and failing to allocate sufficient resources to content moderation. In recent weeks, more individuals and organizations have announced their departure from the platform. Notably, left-leaning British newspaper The Guardian ceased publishing on X in November, the same month Donald Trump won re-election to the White House.




Israel PM Netanyahu says deal with Hamas to release hostages held in Gaza has been reached Israel Hamas Ceasefire Deal Update: The deal, which involves a temporary halt in fighting, is set to release dozens of Israeli hostages in exchange for Palestinian prisoners held in Israeli jails.:-The Indian Express

 

Israel Hamas Ceasefire Deal: Destroyed buildings inside the Gaza Strip. (AP Photo)

Israel Hamas Ceasefire Agreement Update: Prime Minister Benjamin Netanyahu announced on Friday that a deal had been reached to secure the release of hostages held in Gaza by militants, overcoming last-minute obstacles in finalizing a long-awaited ceasefire that would pause 15 months of brutal conflict. His statement followed earlier reports of snags in negotiations but now paves the way for Israel’s security Cabinet to meet and vote on the agreement.


Thursday, January 16, 2025

Israel, Hamas reach ceasefire agreement meant to end 15-month Gaza war, official says Read more at: https://economictimes.indiatimes.com/news/defence

 Negotiators reached a deal on Wednesday for a ceasefire in the Gaza war between Israel and Hamas, an official briefed on the negotiations told Reuters, after 15 months of conflict that has killed tens of thousands of Palestinians and inflamed the Middle East.

The deal, not yet formally announced, outlines a six-week initial ceasefire phase and includes the gradual withdrawal of Israeli forces from Gaza and release of hostages held by Hamas in exchange for Palestinian detainees held by Israel, an official briefed on the negotiations told Reuters.

The agreement follows months of on-off negotiations brokered by Egyptian and Qatari mediators, with the backing of the United States, and came just ahead of the Jan. 20 inauguration of U.S. President-elect Donald Trump.

Hamas, Gaza's dominant Palestinian militant group, told Reuters its delegation had handed mediators its approval for the ceasefire agreement and return of hostages.

A Palestinian official, who asked not to be named, told Reuters earlier Hamas had given verbal approval to the ceasefire and hostage return proposal under negotiation in Qatar and was waiting for more information to give final written approval.


Israeli Foreign Minister Gideon Saar said he was cutting a visit to Europe short and flying back to Israel overnight to take part in security cabinet and government votes on the deal - meaning the votes would likely be by or on Thursday.


Israeli troops invaded Gaza after Hamas-led gunmen broke through security barriers and burst into Israeli communities on Oct. 7, 2023, killing 1,200 soldiers and civilians and abducting more than 250 foreign and Israeli hostages.

Israel's campaign in Gaza has killed more than 46,000 people, according to Gaza health ministry figures, and left the coastal enclave a wasteland of rubble with hundreds of thousands surviving the winter cold in tents and makeshift shelters.

As his inauguration approached, Trump repeated his demand that a deal be done swiftly, warning repeatedly that there would be "hell to pay" if the hostages were not released. His Middle East envoy Steve Witkoff worked with President Joe Biden's team to push the deal over the line.

In Israel, the return of the hostages may ease some of the public anger against Prime Minister Benjamin Netanyahu and his right-wing government over the Oct. 7 security failure that led to the deadliest single day in the country's history.

The conflict spread across the Middle East, with Iran-backed proxies in Lebanon, Iraq and Yemen attacking Israel in solidarity with the Palestinians. The deal comes after Israel killed the top leaders of Hamas and Lebanon's Hezbollah in assassinations which gave it the upper hand.

(Reporting by Andrew Mills in Doha, Nidal Al Mughrabi in Cairo and Maayan Lubell in Jerusalem; additional reporting by Jana Choukeir in Dubai and Ramadan Abed in Gaza; writing by Michael Georgy; editing by Angus MacSwan, Frances Kerry and Mark Heinrich)




GenAI set to revolutionise 38 million jobs in India by 2030, unlocking significant productivity gains: EY India report Read more at: https://economictimes.indiatimes.com

 

By 2030, Generative AI (GenAI) is expected to significantly transform India's workforce and economy, potentially revolutionizing 38 million jobs, boosting productivity by up to 5.43%, and addressing talent shortages through skill development. Adoption challenges and early-stage implementation remain critical hurdles.


Maha Kumbh 2025: Ecosystem of gigs builds up, creating 1 million jobs, including social media & new-age roles:-ET

 

Maha Kumbh Mela, the world’s largest religious congregation that got underway this week in Prayagraj, is also turning out to be one of the biggest events in creating gig and temporary jobs.

Staffing and recruitment services firms estimate the 45-day festival to generate around a million such jobs. While thousands of workers were employed to set up a temporary city on the riverbanks, more are being hired for managing the makeshift facilities, providing transport and logistics support, and handling security and emergency services, among other functions.

Roles also include event coordinators, hospitality staff, guides, customer support executives, technicians, artisans and even social media managers. Manmeet Singh, CEO of FirstMeridian Global, estimates as many as 600,000 temp jobs in construction, hospitality and event management alone.
Highest Number of Digital Roles

“Most of these jobs will be for three to four months,” said Singh, who is also vice-president of India Staffing Federation. Integration of technology to manage crowd movements and streamline services, such as mobile apps for real-time updates and virtual darshan platforms, has generated many digital jobs. These include digital security personnel and marketing experts, social media managers and data analysts.

Viswanath PS, managing director and chief executive at talent and recruitment services provider Randstad India, estimates the number of digital roles that have been created this time to be the highest compared with previous Kumbh fairs.

There are many new-age jobs this time, such as drone operators, live streaming professionals and portable charging station providers, said Aditya Mishra, chief executive of staffing and recruitment firm CIEL HR Services. “The overall increase in employment numbers and the variety of profiles indicate this may indeed be a record year compared to previous Kumbh melas,” said Rajesh Bharatiya, chief executive of recruitment services firm Peoplefy.

Most of these jobs are transient in nature and largely filled by the gig workers, said Mishra. “Many of our clients in FMCG (fast-moving consumer goods), consumer durables and logistics sectors have focused on this event and have accordingly created thousands of jobs there,” he said. More women are also working in these roles compared to earlier, according to staffing firms. While these short-term jobs provide an opportunity for individuals to earn a decent income, they do not guarantee long-term employment, said Suchita Dutta, executive director at the India Staffing Federation.

Hindenburg Research, whose reports wiped billions off Gautam Adani's wealth, shuts down Read more at: https://economictimes.indiatimes.com

 

Hindenburg Research, the US investment research firm renowned for its short-selling activities, has been officially disbanded, its founder Nate Anderson announced on January 15. This firm gained notoriety in India in recent times for its reports that significantly impacted billionaire Gautam Adani and his business interests, resulting in billions of dollars in losses.

In his statement, Anderson said, "As I've shared with family, friends and our team since late last year, I have made the decision to disband Hindenburg Research." He explained that the plan was to wind up operations after completing their pipeline of investigative ideas. Notably, the firm recently concluded its final projects related to Ponzi schemes, marking the end of its research activities.

Hindenburg's hit on Adani Group

Hindenburg Research had been actively targeting the Adani Group, publishing reports throughout 2023 that led to substantial financial repercussions for Gautam Adani.

A huge chunk of Adani Group's market value was wiped off following Hindenburg's accusations. The group, however, made good most of the stock market losses later.
Despite the gravity of the allegations made by Hindenburg, Adani and his companies have consistently denied all charges against them.

Timing of the Closure and Nate Anderson's rationale


The timing of Anderson’s announcement is particularly striking, occurring just days after a Republican Congressman, who is part of the House Judiciary Committee, requested the Department of Justice to preserve all documents and communications linked to the investigations involving Adani and his companies.

Anderson did not specify a singular reason for the closure of Hindenburg Research, which comes at a politically sensitive time, just before the end of President Biden’s term and the upcoming inauguration of Donald Trump.

Addressing the rationale behind his decision to disband the firm, Anderson stated, "There is not one specific thing—no particular threat, no health issue, and no big personal issue." He reflected on his career, noting, "Someone once told me that at a certain point a successful career becomes a selfish act."

He expressed newfound comfort with himself and acknowledged the personal sacrifices made during his career, stating, "The intensity and focus has come at the cost of missing a lot of the rest of the world and the people I care about."

Road ahead: Future plans

In a subsequent interview with The Wall Street Journal, Anderson shared his aspirations for the future, including pursuing hobbies, traveling, and spending quality time with his fiancée and their child. He emphasised that he has accumulated enough wealth to ensure their financial security moving forward and indicated a shift towards investing in index funds and low-stress investments.

Anderson also expressed his commitment to supporting his former team members as they transition into new opportunities. He noted that some may start their own research firms, which he plans to encourage, while others are now in a position to pursue new ventures. He welcomed inquiries from those interested in collaborating with his talented former colleagues, underscoring their capabilities as "brilliant, focused, and easy to work with."