The Employees Provident Fund Organisation (EPFO), which manages the retirement savings of 27.73 crore Indians, continued to invest in Adani Enterprises and Adani Ports even as the port energy group’s shares tumbled after a damaging short-selling report.

According to a March 27 report by The Hindu, the subscribers were captive investors, as the two stocks are part of Sensex and Nifty, tracked by funds managed by EPFO.

EPFO invests 15% of its funds in exchange-traded funds, the report said. As of March 2022, it has invested Rs 1.57 lakh crore in ETFs. The Hindu said it invested another Rs 8,000 crore in FY23.

US-based Hindenburg Research accused Adani Group of widespread manipulation and misconduct in late January to inflate its share price. The Gautam Adani-led group denied the claims, but that did not help prevent its shares from taking a beating.

The Hindu report comes as the central board of trustees that manages EPFO ​​begins a two-day meeting to discuss higher wage-linked pensions, FY23 interest rates and annual financial estimates. The operations of India’s largest pension funds will be closely tracked as they affect millions of people.

The Hindu said EPFO ​​would continue to invest in both Adani shares unless the trust decides against it during the meeting.

Experts have called for greater transparency and accountability in investment decisions made by the EPFO ​​after Adani Group shares were hit hard. Some recommend diversifying your portfolio for better long-term returns.

The 233rd meeting of the CBT, chaired by Union Labour and Employment Minister Bhupender Yadav, was initially scheduled for March 25-26 but was postponed.