United States of America v. Gautam Adani et al. explained

United States of America v. Gautam Adani et al. is a 2024 federal indictment in the United States District Court for the Eastern District of New York.[1] Indian billionaire Gautam Adani and seven top business executives of Adani Group and its affiliates have been charged for their alleged involvement in a scheme to pay hundreds of millions of dollars in bribes to Indian government officials and to hide the bribery from U.S. investors.[2]

On November 20, 2024, a five-count indictment unsealed in Brooklyn charges Indian Energy Company executives Gautam Adani[3], Sagar Adani[4], and Vneet Jaain[5] with securities and wire fraud for a multi-billion-dollar scheme involving false statements to U.S. investors and global financial institution.

Background

In March 2024, the United States expanded its probe into Adani Group, particularly focusing on founder Gautam Adani's conduct and potential bribery by his group companies in exchange for favorable treatment regarding an energy project.[6] [7] The investigation is being handled by the United States Attorney for the Eastern District of New York and the United States Department of Justice Criminal Division's fraud unit in Washington.[8]

Indictment

An unsealed five-count indictment in Brooklyn federal court charges Gautam Adani, his associates, and executives from other firms with a bribery and fraud scheme involving more than $250 million in payments to Indian government officials.[9] [10] The alleged bribes secured lucrative solar energy contracts for Adani Green Energy[11], projected to yield over $2 billion in profits, while misleading U.S. and international investors through false statements to raise funds.[12] The indictment also accuses other individuals, including former employees of a Canadian institutional investor[13], of obstructing investigations by deleting evidence and providing false information to authorities.

The defendants allegedly concealed the bribery scheme by making false and misleading statements[14] while raising over $3 billion through loans and bond offerings marketed to U.S. investors. The case, investigated by the Federal Bureau of Investigation and the United States Department of Justice's Fraud Section, highlights efforts to combat corruption and fraud impacting U.S. financial markets. Charges include securities fraud, wire fraud, violations of the Foreign Corrupt Practices Act, and obstruction of justice.

Notes and References

  1. Web site: 2024-11-20 . Eastern District of New York Billionaire Chairman of Conglomerate and Seven Other Senior Business Executives Indicted in Connection With Scheme to Pay Hundreds of Millions of Dollars in Bribes and Conceal Bribery Scheme From U.S. Investors United States Department of Justice . 2024-11-21 . www.justice.gov . en.
  2. News: Grant . Nico . 20 November 2024 . U.S. Charges Indian Billionaire Adani With Fraud Over Bribery Scheme . 21 November 2024 . The New York Times.
  3. News: Travelli . Alex . 21 November 2024 . Bribery Charges Against Tycoon Strike at Heart of Modi's India . 21 November 2024 . The New York Times.
  4. News: Mukherjee . Anubhav . 21 November 2024 . Gautam Adani 'bribery' case: Who is Sagar Adani and what's his role in the alleged scheme? . 21 November 2024 . Livemint.
  5. News: 2024-11-21 . Gautam Adani US Indictment: Names of 7 others accused in the US fraud case . 2024-11-21 . The Hindu . en-IN . 0971-751X.
  6. Web site: Pal . Priyasi . Adani Group Under US Bribery Probe: Shadow Over Indian Green Giant? . Bru Times News . en.
  7. Web site: 2024-03-16 . US probing Adani Group and founder over potential bribery: Report . 2024-03-16 . The Indian Express . en.
  8. News: Schoenberg . Tom . Benny-Morrison . Ava . 2024-03-15 . US Probing Indian Billionaire Gautam Adani and His Group Over Potential Bribery . 2024-03-16 . Bloomberg.com . en.
  9. Web site: Sherman . Natalie . Hrishikesh . Sharanya . 21 November 2024 . Gautam Adani: US charges Indian billionaire with fraud . 2024-11-21 . . en-GB.
  10. Web site: Maruf . Ramishah . Iyer . Aishwarya . 2024-11-20 . Billionaire Gautam Adani indicted in New York on bribery charges CNN Business . 2024-11-21 . . en.
  11. News: 21 November 2024 . Indian billionaire Gautam Adani charged by US over alleged $336m bribe plot . 21 November 2024 . The Straits Times.
  12. News: Gautam Adani faces bribery charges in America . 2024-11-21 . . 0013-0613.
  13. News: Tandon . Kashish . Mukherjee . Hritam . 21 November 2024 . Who are the defendants charged in US indictment of Gautam Adani . 21 November 2024 . Reuters.
  14. Web site: Gautam Adani indicted in New York over alleged multibillion-dollar fraud scheme . Telegraph India . 2024-11-23 . 2024-11-21.