Deloitte, Adani Ports & SEZ spar over Hindenburg Research's claims

Deloitte Haskins and Sells LLP’s resignation letter as the statutory auditor of Adani Ports and SEZ Ltd has revealed that the decision was primarily influenced by the lack of clarity on transactions involving certain parties mentioned in the Hindenburg Research report of January 24.

- 

Additionally, the audit firm cited the company’s resistance to conducting an independent external evaluation as a contributing factor for its premature resignation.

The resignation came on the grounds of a “material weakness” identified in Adani Ports’ internal control system. Deloitte stated that the company lacked an appropriate internal control system to address allegations made in the report. This included a failure to examine the veracity of related party relationships, which could potentially lead to adjustments or disclosures of related party balances and transactions in the financial statements.