Lokpal’s Legal Acrobatics

The Lokpal set a dangerous precedent by letting off MADHABI PURI BUCH on grounds of technicalities

- Palak Shah

IN A JAW-DROPPING 116-page display of legal and bureaucratic acrobatics, the Lokpal, dismissed serious complaints against former Securities and Exchange Board of India (SEBI) Chairperson Madhabi Puri Buch, branding them as baseless and tossing them into the abyss of technicalities. This decision doesn’t just clear Buch - it rips open a gaping hole in India’s regulatory framework, practically handing a free pass to every wrongdoer with a calendar and a lawyer. If SEBI adopts the same flimsy standards, 99.99 per cent of financial miscreants may slip away, unscathed, leaving the market integrity in tatters.

The allegations against Buch were no small potatoes. She was accused of grave conflict of interest while wielding SEBI’s gavel, a role that demands unblemished impartiality. Yet, the Lokpal’s order reads like a masterclass in dodging substances. It leaned heavily on the statute of limitations, arguing that any alleged “undue advantage” happened too long ago — before Buch’s SEBI tenure or outside the seven-year window for complaints. This conveniently ignores the fact that conflicts of interest don’t vanish with time; they fester, eroding trust in institutions meant to protect investors.

Setting a Precedent