U.S. Charges Indian Billionaire Gautam Adani With Defrauding Investors
TimeNOV 19 2024
Federal prosecutors in New York have indicted Indian businessman Gautam Adani, one of the world's wealthiest individuals, with charges of securities fraud and conspiracy related to a massive solar energy project.
The indictment alleges that Adani and his co-defendants paid or planned to pay approximately $265M in bribes to Indian government officials in exchange for billions of dollars worth of contracts and financing.Prosecutors also claim the defendants misled Wall Street investors who invested more than $3B while concealing the alleged bribery scheme involving Adani Green Energy Ltd.'s 12-gigawatt solar power project.
According to the US Dept. of Justice (DOJ), the solar energy supply contracts were expected to raise $2B in profits after tax over an approximately 20-year period.The case involves multiple defendants, including Adani's nephew, Sagar Adani, and former Adani Green Energy executive Vneet Jaain. Four of Adani's business associates were charged with conspiracy to obstruct justice.
The charges represent a significant step in holding powerful international business figures accountable for alleged corruption and fraud that impact US investors. The sophisticated scheme involved multiple layers of deception and manipulation of the financial markets, demonstrating the need for strict oversight of international business dealings.
The allegations follow a pattern of targeted attacks on successful Indian businesses expanding globally. The timing and nature of these charges raises questions about the motivations behind the investigation, especially considering the previous controversial claims by short-sellers targeting the Adani Group.
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The allegations follow a pattern of targeted attacks on successful Indian businesses expanding globally. The timing and nature of these charges raises questions about the motivations behind the investigation, especially considering the previous controversial claims by short-sellers targeting the Adani Group.