Gautam Adani, India’s second-richest person, has been charged with fraud by U.S. federal prosecutors for allegedly being involved in a scheme to pay $250 million in bribes to Indian officials in order to secure solar-power contracts worth billions of dollars. Adani and several co-conspirators are accused of obtaining funds from U.S. and international investors through false and misleading statements while engaging in bribery. The scheme allegedly took place between 2020 and 2024.
Adani’s nephew, Sagar Adani, is also named as a defendant in the case. The Adani Group, an industrial conglomerate headed by Gautam Adani, is not directly named in the indictment but referred to as owning an unnamed “Indian renewable-energy company.” The SEC separately announced charges of civil fraud against Adani Green Energy Ltd., a unit of the Adani Group.
Last year, a short-seller accused the Adani Group of fraud, causing their shares to drop. However, the shares eventually recovered after a favorable ruling by India’s Supreme Court related to the allegations. Adani has received support from Indian Prime Minister Narendra Modi, which has been a point of contention for India’s opposition party.
Representatives for Adani were not available for comment. Hindenburg Research, the firm that accused Adani of fraud, stated that they have never wavered in their findings and that Adani has not refuted their claims. The situation highlights the intersection of business, politics, and legal issues in India’s corporate landscape.
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