A U.S. federal court has issued an arrest warrant for Gautam Adani, one of India’s wealthiest individuals, following allegations of bribing officials and defrauding investors. The billionaire, who is worth $116 billion (£91.77 billion), is facing charges brought by the U.S. Securities and Exchange Commission (SEC) related to a major solar energy project.
The indictment involves Adani, his nephew Sagar Adani, and six other defendants who are accused of conspiring to pay over $250 million (£197.75 million) in bribes to Indian government officials to secure lucrative contracts.
Deputy Assistant Attorney General Lisa Miller stated, “This indictment alleges schemes to pay bribes, deceive investors and banks to raise billions, and obstruct justice.” FBI Assistant Director James Dennehy added that Adani and others misled investors by raising capital based on false claims of bribery and corruption.
The indictment reports that between 2020 and 2024, the defendants agreed to pay bribes for contracts that promised over $2 billion (£1.58 billion) in profits. It also notes that Adani personally met with an Indian official to advance the bribery scheme, and conspirators used codenames like “numero uno” and “the big man” when referring to him.
Sagar Adani reportedly maintained notes on his cellphone tracking bribe payments and expected contract sizes related to solar power projects. The indictment claims text messages showed attempts by Adani Group associates to destroy evidence and mislead investigators.
In the aftermath of the allegations, opposition leader Rahul Gandhi called for Adani’s immediate arrest and accused Prime Minister Modi of protecting him due to corruption ties. BJP leader Sambit Patra responded, stating that the allegations are directed at the company itself, asserting that public support for Modi remains strong.
The controversy surrounding Adani began in February 2023 when the short-seller Hindenburg Research published a report claiming that the Adani Group manipulated stock prices, committed accounting fraud, and engaged in money laundering. While the group dismissed these claims as “malicious and baseless,” they led to a loss of over $100 billion (£79 billion) in market valuation.
In response to the latest allegations, the Adani Group stated that the charges are baseless and reiterated its commitment to governance and compliance with regulations. The group assured stakeholders of its adherence to the law and plans to pursue all legal avenues available.
In addition, Adani’s projects in Kenya, Bangladesh, Sri Lanka, and Australia have faced criticism regarding transparency and environmental damage, prompting significant protests outside India.
Credit: Sky News
