Billionaire Gautam Adani charged in US for alleged $250 million bribery scheme | Business

Gautam Adani, one of the world’s richest men, has been indicted in New York for an alleged multi-billion-dollar scheme to pay $250 million in bribes and hide the scheme from American investors.

Prosecutors charged the chairman of Indian conglomerate Adani Group and two other executives of a renewable energy company with securities fraud and conspiracy to commit securities and wire fraud.

The U.S. attorney’s office in Brooklyn accused the executives of agreeing to pay bribes worth hundreds of millions of dollars to Indian government officials between 2020 and 2024 in an effort to win solar power supply contracts expected to yield $2 billion. USD in profits over 20 years.

Separately, the Securities and Exchange Commission (SEC), America’s top market watchdog, charged Adani, 62, and two other executives with conduct it said arose out of a “massive bribery scheme”.

Adani Group did not immediately respond to a request for comment.

The company’s value came under pressure after allegations of “brazen share manipulation”, “accounting fraud” and “money laundering” were published by short-selling investment firm Hindenburg Research last year.

Adani rejected the Hindenburg claims, which it dismissed as a “malicious” mix of “selective misinformation and out-of-date, baseless and discredited claims”.

Breon Peace, U.S. attorney for the Eastern District of New York, said the defendants “orchestrated an elaborate scheme” to bribe Indian officials to secure contracts and lied about the scheme while raising funds.

Lisa Miller, Deputy Assistant Attorney General, said: “This indictment alleges schemes to pay over $250 million in bribes to Indian government officials, to lie to investors and banks to raise billions of dollars, and to obstruct justice.

“These offenses were allegedly committed by executives and directors to obtain and finance massive government energy supply contracts through corruption and fraud at the expense of American investors.”

Gautam Adani is the 18th richest person in the world, according to Bloombergwith a personal fortune of $85 billion.

Prosecutors alleged that Adani personally met with an Indian official on several occasions to further the bribery scheme.

The leaders are accused of often discussing efforts to promote the scheme, including via a messaging app. One of the defendants, Sagar R Adani, tracked “specific details of the bribes offered and promised to officials” on his phone, according to prosecutors.