Indian Tycoon Gautam Adani Charged in $250M US Bribery Case . Indian billionaire Gautam Adani has been charged in the United States over allegations of orchestrating a multi-year scheme to bribe Indian officials to secure lucrative solar power contracts. The contracts, projected to generate over $2 billion in profits, have placed and his business empire under intense scrutiny.
The 62-year-old tycoon, who chairs the Adani Group and is known for his close ties with Indian Prime Minister Narendra Modi, faces charges including securities fraud. The indictment, filed in New York, names seven additional defendants, including senior executives from Adani Group’s energy subsidiaries and former employees of a Canadian pension fund. Among the accused is Adani’s nephew, Sagar Adani, an executive director at the group’s renewable energy arm.
According to U.S. prosecutors, Indian Tycoon Gautam Adani Charged in $250M US Bribery Case were allegedly promised or paid between 2020 and 2024 to Indian government officials to secure favorable deals. These payments were reportedly concealed from U.S. banks and investors who had provided substantial funding to Adani’s businesses. Prosecutors claimed Gautam Adani himself met with an Indian official to further the scheme.
The charges also implicate three former employees of the Canadian pension fund CDPQ, which has investments in Adani Group. Prosecutors allege these individuals obstructed an investigation into the bribery allegations by deleting evidence and providing false information. CDPQ has since terminated their employment and is cooperating with authorities.
The fallout from these allegations has been significant. Adani Group’s shares plummeted across its ten listed companies, with its flagship Adani Enterprises and key ports business both dropping by 10% on Thursday. The group’s attempt to issue a $600 million bond was suspended following the indictment, despite initial bids exceeding $2 billion.
The U.S. Securities and Exchange Commission (SEC) has filed a parallel civil lawsuit, claiming the bribes were used to secure commitments from the Indian government to purchase energy at inflated prices. These deals allegedly benefited Adani Green and Azure Power, two renewable energy companies, and were hidden from investors. Adani Green, which is constructing one of the world’s largest solar plants in Gujarat, raised $175 million from U.S. investors as part of the scheme.
The accusations come on the heels of earlier claims by U.S. short-seller Hindenburg Research, which accused the Adani Group of accounting fraud and stock manipulation. Although Adani has denied any wrongdoing, these fresh charges are likely to reignite concerns over the group’s governance and practices.
Critics, including India’s opposition leader Rahul Gandhi, have called for a thorough investigation into Adani’s business dealings and his connections to the Indian government. Meanwhile, Adani Group has stated it will reassess the timing of its bond issuance and work to address the allegations.
The case highlights the complex intersection of business, politics, and global finance, with the outcome likely to have far-reaching implications for one of India’s largest conglomerates and its global ambitions.
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