Adani Green Denies US Bribery Indictment Allegations against Gautam Adani and his Nephew
Adani Green Energy Ltd. (AGEL) clarified that chairman Gautam Adani and other executives, Sagar Adani and Vneet Jaain, are not indicted for bribery and corruption in the United States. The clarification comes after media claims have suggested the opposite, with the company describing the allegations as misleading and inaccurate.
No Bribery Accusations in US Claims
As reported by AGEL, the indictment by the US Department of Justice or the civil complaint by the US Securities and Exchange Commission has no allegations of bribery or corruption against these people. The company clarified that it has not accused its directors of violating the US Foreign Corrupt Practices Act, a law similar to India’s Prevention of Corruption Act.
AGEL reported that the criminal charges listed in the DOJ indictment are the following:
1. Conspiracy to commit securities fraud
2. Conspiracy to commit wire fraud
3. Securities fraud
The company emphasized that none of these counts involve bribery or corruption charges.
Correction on Misleading Media Reports
AGEL dismissed media reports that were circulating in the market and stated that such reports had resulted in unwarranted speculation about the group. In this regard, the company released an official clarification to put a stop to the circulation of false reports and keep stakeholders informed about what was really going on.
Legal Context and Observations
Legal analysts pointed out that while the indictment does refer to allegations of bribing Indian entities for solar power contracts, it fails to state the form in which such bribes are alleged to have been paid. Further, it was noted that the Adani executives were not charged under the FCPA or for obstruction of justice. It was also observed that some foreign individuals who are not affiliated with the Adani Group are named in the indictment.
Allegations and AGEL’s Stand
The media coverage has thrown much speculation in the minds of the public about possible fallouts for the Adani Group. However, clarifications by AGEL have made away with doubts and have restated the narrowness of the allegations. The company maintains there are no allegations of corruption and bribery against its management in the DOJ indictment and the SEC civil complaint.
AGEL is trying to work on these issues to keep on the right track and protect its reputation while under scrutiny.
