Billionaire industrialist Gautam Adani is facing serious accusations of fraud and bribery in the United States. The U.S. Securities and Exchange Commission (SEC) has alleged that the founder and chairman of the Adani Group deceived American investors and bribed officials. On Wednesday, both Gautam Adani and his nephew Sagar Adani, along with Cyril Cabness, executives at Adani Green Energy Limited and Azure Power Global Limited, were charged with conspiring to commit securities and wire fraud, as well as engaging in securities fraud.
The charges relate to their involvement in a multi-billion dollar scheme that allegedly involved obtaining funds from American investors and global financial institutions through false and misleading statements.The SEC claims that the bribery scheme was designed to help renewable energy companies Adani Green and Azure Power benefit from multi-billion dollar solar energy projects awarded by the Indian government.
The complaint accuses them of violating anti-fraud provisions of federal securities laws and seeks permanent injunctions, civil penalties, and restrictions on their positions as officers and directors. According to a statement from the SEC, during the alleged scheme, Adani Green raised over $175 million from American investors, and shares of Azure Power were traded on the New York Stock Exchange.The U.S. Attorney’s Office for the Eastern District of New York has opened criminal charges against Adani, Sagar Adani, Cabness, and others associated with Adani Green and Azure Power.
Federal prosecutors have also charged five others in a federal indictment filed in a Brooklyn court related to a bribery scheme connected to one of the world’s largest solar energy projects, alleging violations of the Foreign Corrupt Practices Act.Prosecutors claim that between 2020 and 2024, Adani and his associates paid over $250 million in bribes to secure solar energy contracts valued at more than $2 billion in estimated post-tax profits over a 20-year period. They are accused of bribing Indian government officials to obtain lucrative contracts and misleading investors about bribery and corruption.According to FBI Assistant Director James Dennehy, they allegedly attempted to obstruct the investigation as well.
