In a sudden turn of events, the United States has expanded its inquiry into the Adani Group of India, now honing in on the actions of its founder, Gautam Adani, amidst allegations of potential bribery, as per Bloomberg News.
The investigation, spearheaded by the U.S. Attorney’s office for the Eastern District of New York and the Justice Department’s fraud unit in Washington, has widened its scope to scrutinize whether any entity affiliated with Adani Group, including Gautam Adani himself, partook in illicit payments to officials in India to secure advantageous treatment for an energy venture. Sources familiar with the matter revealed this detail to Bloomberg.
Simultaneously, the investigative lens extends to Azure Power Global, an Indian renewable energy entity, indicating the breadth of the U.S. authorities’ examination.
Adani Group, when approached by Bloomberg News, expressed ignorance of any probe against their chairman. However, both Adani Group and Azure Power declined to offer immediate comments when Reuters sought clarification. Likewise, the DOJ remained silent on the matter.
This development follows a tumultuous period for Adani Group, marked by a substantial downturn in its stocks and bonds triggered by a scathing report from U.S. short-seller Hindenburg Research last year. The report alleged a litany of improprieties, including governance lapses, stock manipulation, and the utilization of tax havens by the conglomerate. Adani Group vehemently refuted these accusations.
As the inquiry unfolds, the spotlight intensifies on Gautam Adani and the Adani Group, enveloping them in a cloud of suspicion and uncertainty amidst these grave allegations.
