On Saturday, Gautam Adani, the founder of the Adani Group, addressed for the first time the allegations made by U.S. authorities that he was involved in a bribery scheme worth $265 million. Adani reassured his commitment to world-class regulatory compliance for his business conglomerate that spans from ports to power.
This indictment marks the second significant setback for Adani in two years, causing a significant stir not only in India but across the globe. The group’s power deal is under review in one Indian state, while TotalEnergies of France has decided to put its investments on hold. Additionally, political disputes concerning Adani have led to disruptions in India’s parliament.
Adani said during an awards ceremony speech, “Less than a fortnight ago, the U.S. leveled allegations about compliance practices at Adani Green Energy. This isn’t the first time we’ve faced such challenges.”
U.S. authorities have implicated Gautam Adani, his nephew and executive director Sagar Adani, and Vneet S. Jaain, the managing director of Adani Green, in a scheme purported to involve bribes to secure Indian power supply contracts and misleading U.S. investors during fundraising activities in the U.S.
The Adani Group has refuted these allegations as “groundless,” promising to pursue “all possible legal recourse.”
Adani, speaking in Jaipur, the northern Indian city, said, “What I can tell you is that each attack only strengthens us, and every roadblock becomes a stepping stone towards a more resilient Adani Group.”
He added, “In the current world, negativity often spreads faster than facts. As we navigate through the legal process, I want to reiterate our unwavering commitment to world-class regulatory compliance,” without going into more details.
The finance chief of Adani Group dismissed the allegations on Friday, while the Indian government stated it hasn’t received any U.S. request about the case.
The listed companies of the Adani Group at one point saw a decrease of up to $34 billion in their collective market value. However, the stocks have regained some ground as certain partners and investors have continued to support the conglomerate.
