Indian billionaire Gautam Adani has been charged with fraud in the US, which accuses him of orchestrating a $250m (£198m) bribery scheme and concealing it to raise money in America.
The criminal charges, filed Wednesday in New York, are the latest blow to Mr. Adani, 62, one of India’s richest men, whose business empire stretches from ports and airports. to renewable energy.
In the indictment, prosecutors allege the tycoon and other senior executives agreed to pay Indian officials to win contracts for his renewable energy company, will bring in profits of more than 2 billion USD in 20 years.
Adani Group did not immediately respond to a request for comment.
Shares of Adani Group companies fell more than 10% in Thursday morning trading, causing the group to lose about $30 billion in market capitalization. Adani Green Energy, the company at the center of the allegations, also said it would not proceed with a $600 million bond offering.
The group has been operating under the cloud in the US since 2023, when a well-known company published a report denounce it as fraud. The claims, which Mr. Adani denies, caused a major market sell-off.
Reports of this bribery investigation have been circulating for months. The US began investigating the company in 2022 and found the investigation hindered, prosecutors said.
They allege that the executives raised $3 billion in loans and bonds, including from American companies, thanks to false and misleading statements regarding their policies and operations. the company’s anti-bribery activities, as well as reports of bribery investigations.
“As alleged, the defendants orchestrated a complex scheme to bribe Indian government officials to secure billions of dollars worth of contracts and…say,” said U.S. Attorney Breon Peace. lied about their bribery scheme as they sought to raise capital from US and international investors.” a statement announcing the charges.
He added: “My office is committed to rooting out corruption in international markets and protecting investors from those who seek to enrich themselves at the expense of transparency. our financial markets”.
In some cases, Mr. Adani personally met with government officials to promote the bribery scheme, officials said.
Michael Kugelman, director of the South Asia Institute at the Wilson Center, called the accusation a “physical blow” to the tycoon.
“For nearly two years, Mr. Adani has been trying to restore his image and [trying] to show that the previous allegations of fraud made by the Hindenburg group were not true and that his company and business were actually doing quite well,” he told the US Business Today program. BBC.
But he said it may be difficult for the billionaire to “ignore” the US Department of Justice’s charges.
Mr. Adani is a close ally of Indian Prime Minister Narendra Modi. He has long faced accusations from opposition politicians alleging that he has benefited from his political connections, which he denies.
U.S. Attorney positions in the United States are appointed by the president. The filing comes just weeks after Donald Trump was elected to the White House, pledging to reform the US Department of Justice.
Last week on social networks, Mr. Adani congratulated Mr. Trump on winning the election and pledged to invest 10 billion USD in the US.
