US authorities have accused Indian billionaire Gautam Adani for allegedly participating in a $265 million bribery conspiracy against Indian officials, sending his company into a severe crisis for the second time in two years.
Adani, one of the richest people in the world, and seven other defendants were charged with several charges of fraud, which US investigators claim included a company that was listed in New York and impacted American investors.
Following a report by short-seller Hindenburg Research accusing the Adani Group of inappropriately employing offshore tax havens, which the firm rejected, the allegations come after a turbulent year for the company.
Adani Green Energy, the business at the center of the claims, canceled a $600 million sale of bonds denominated in US dollars, and shares and bonds of Adani companies fell sharply on Thursday.
According to court documents, prosecutors intend to transmit the arrest warrants that have been obtained in the US for Adani and his nephew Sagar to international law enforcement.
Currently in charge of Adani Green’s “strategic and financial matters,” Sagar is an executive director.
The claims were “baseless and denied,” according to a statement from Adani Group, which also stated that it will pursue “all possible legal recourse.”
As per US federal authorities, the defendants consented to bribe Indian government officials in order to establish India’s largest solar power plant project and get power supply contracts that are anticipated to generate $2 billion in profit over 20 years.
Additionally, they said that by concealing their wrongdoing from lenders and investors, the Adanis and former CEO Vneet Jaain, another executive of Adani Green Energy, secured over $3 billion in loans and bonds.
The three were accused of conspiracy to commit securities fraud, conspiracy to commit securities fraud, and conspiracy to commit wire fraud.
