Indian Billionaire Gautam Adani Charged with $250 Million
Fraud in US
Indian billionaire Gautam Adani faces fraud charges in the
US, accused of orchestrating a $250 million bribery scheme to secure lucrative
contracts and concealing the misconduct to raise funds in international
markets. Filed in New York on Wednesday, the charges mark a significant setback
for the 62-year-old magnate, whose business empire spans infrastructure,
energy, and transportation sectors.
According to the indictment, Adani and senior executives
allegedly made substantial payments to Indian officials to obtain contracts for
his renewable energy company, projected to generate over $2 billion in profits
over 20 years. Prosecutors claim the executives misled investors by falsely
portraying robust anti-bribery practices while concealing ongoing investigations
into the bribery scheme.
US Attorney Breon Peace stated, “As alleged, the defendants
orchestrated an elaborate scheme to bribe Indian government officials to secure
contracts worth billions of dollars and lied about the scheme while raising
capital from U.S. and international investors.” Peace reaffirmed the Justice
Department’s commitment to combating corruption and safeguarding financial
market integrity.
Adani Group has yet to issue a comment.
This isn’t the first controversy for Adani, one of India’s
wealthiest individuals and a close ally of Indian Prime Minister Narendra Modi.
In 2023, a high-profile report accused Adani’s conglomerate of fraud, leading
to a sharp decline in market value. Adani denied those claims, but the
allegations fueled international scrutiny and a months-long investigation by US
authorities, which began in 2022 and faced alleged obstruction.
Prosecutors noted that Adani personally engaged with Indian
officials to further the bribery scheme. Meanwhile, opposition politicians in
India have long criticized Adani for purportedly benefiting from political
connections - a charge he continues to deny.
Adding to the intrigue, just weeks before the filing, Adani
publicly congratulated Donald Trump on his presidential election win and
pledged $10 billion in US investments. The timing of the charges underscores
the heightened tensions between global business practices and US legal
standards.
