NEW YORK — Gautam Adani, the billionaire chairman of India’s Adani Group and one of the wealthiest individuals globally, has been indicted in New York for his alleged involvement in a multibillion-dollar bribery and fraud scheme, according to U.S. prosecutors on Wednesday (Nov 20).
Authorities claim that Adani, along with seven other individuals, including his nephew Sagar Adani, paid approximately $265 million in bribes to Indian government officials. The goal was to secure contracts projected to generate $2 billion in profits over 20 years and to develop India’s largest solar power plant project.
Prosecutors also allege that Gautam and Sagar Adani, along with former Adani Green Energy CEO Vneet Jaain, raised over $3 billion through loans and bonds while concealing their corrupt activities from investors and lenders.
The indictment revealed that conspirators referred to Gautam Adani by code names such as "Numero Uno" and "The Big Man," while Sagar Adani reportedly tracked bribery details on his cellphone.
Adani Group has not issued a statement, and India’s embassy in Washington has yet to comment. Legal representatives for the accused were not immediately available.
Gautam Adani, Sagar Adani, and Jaain face charges of securities fraud, conspiracy to commit securities fraud, and wire fraud conspiracy. Additionally, the Adanis are named in a civil case brought by the U.S. Securities and Exchange Commission (SEC).
Five other defendants are charged with conspiring to violate the U.S. Foreign Corrupt Practices Act, while four face charges of conspiracy to obstruct justice. None of the defendants are currently in custody, according to a spokesperson for U.S. Attorney Breon Peace. Gautam Adani is believed to be in India.
At 62 years old, Gautam Adani is worth $69.8 billion, according to Forbes, making him the world’s 22nd-richest person and India’s second-richest, behind Mukesh Ambani of Reliance Industries.
Raised in Gujarat, India, Adani left school at 16 and founded the Adani Group in 1988 as a commodities trading firm. Over the years, he expanded his business into airports, shipping, power generation, energy transmission, and mining.
The charges come shortly after Adani raised $600 million by issuing 20-year "green" bonds. They also follow nearly two years after U.S. short-seller Hindenburg Research accused the Adani Group of improperly using offshore tax havens, an allegation the company denied. Hindenburg’s report in January 2023 triggered a $150 billion decline in Adani Group’s market value.
Other Accused Individuals
Also charged were Ranjit Gupta and Rupesh Agarwal, former executives of Azure Power Global, who allegedly participated in bribery. Cyril Cabanes, a dual French-Australian citizen and Azure director, faces charges from both prosecutors and the SEC.
Most of the accused are Indian citizens, with the exception of Cabanes, who has resided in Singapore. U.S. prosecutors have issued arrest warrants for Gautam and Sagar Adani, intending to involve foreign law enforcement.
Recent Announcements and Political Connections
Last week, Gautam Adani revealed plans to invest $10 billion in U.S. energy security and infrastructure, potentially creating 15,000 jobs. This announcement coincided with his congratulatory message to U.S. President-elect Donald Trump on his victory.
Trump has promised to simplify regulations for energy companies, including expanding drilling on federal lands and constructing new pipelines.
Indian Prime Minister Narendra Modi, also from Gujarat, has faced criticism from political opponents for allegedly shielding Adani and his businesses, including during the Hindenburg controversy. Modi has dismissed these allegations as baseless.
Disclaimer: This image is taken from Reuters file
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