US Court Dismisses Bribery Case Against Gautam Adani

A US federal judge in New York has dismissed a criminal case that accused Indian billionaire Gautam Adani and seven other individuals of bribery and fraud. This case had been ongoing for nearly two years, with the Adani Group consistently refuting the allegations since November 2024.

DoJ’s Rationale for Dismissal

The US Department of Justice (DoJ) requested the dismissal, citing six primary reasons for its decision. These justifications outlined significant challenges and considerations regarding the prosecution.

• The case was primarily a foreign matter.
• India found no “actionable misconduct” related to the allegations.
• “Not a single penny was lost” on issued securities, indicating no financial harm.
• The presence of “extraordinary proof problems” complicated prosecution.
• The indictment, unsealed in November 2024, was seen as a “name and shame” effort without realistic trial expectation.
• The defendants, all foreign nationals, “never appeared and probably never would” face trial.

US district judge Nicholas Garaufis, while acknowledging the DoJ’s decision, noted his concern over the reversal of its position. He specifically inquired whether the Adani Group’s commitment to invest $10 billion in the US, made in November 2024, influenced the DoJ’s decision to drop the charges.

Original Allegations and Accused Individuals

The initial investigation, which began in November 2024, centered on allegations that Gautam Adani, his nephew Sagar Adani, and six others conspired to bribe Indian government officials. The alleged goal was to secure a solar power plant tender for an Adani Group entity.

Charges were also made that Adani Group officials misled US investors by providing false assurances about the company’s anti-corruption policies. The DoJ had accused the individuals of securities-fraud conspiracy, wire fraud conspiracy, and securities fraud.

• Gautam Adani
• Sagar Adani
• Vneet Jaain (former Adani Green CEO)
• Ranjit Gupta
• Cyril Cabanes
• Saurabh Agarwal
• Deepak Malhotra
• Rupesh Agarwal

Adani’s Response and Market Impact

Following the dismissal, Gautam Adani expressed his gratitude on X, stating his unwavering faith “in truth, fairness and the rule of law.” He thanked those who maintained faith in the system and India’s capacity for justice, reaffirming the group’s commitment to nation-building.

Despite these developments, stock prices of the Adani Group companies displayed a mixed performance on Tuesday within a generally weak market environment.