NEW YORK: Indian billionaire Gautam Adani was indicted in New York, United States (US) for an alleged multibillion-dollar fraud scheme, the US prosecutors revealed.
The Chairman of the Adani Group was charged along with two executives from the Adani Green Energy – his nephew Sagar Adani and Vneet Jaain.
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The indictment claims that from 2020 to 2024, the defendants conspired to pay over $250 million in bribes to Indian government officials to secure solar energy contracts projected to yield around $2 billion in profits.
The US prosecutors also allege that during the noted timeframe, the renewable energy firm raised more than $3 billion in loans and bonds based on deceptive and misleading information.
Alongside Adani and his associates, five other people face related conspiracy charges, including two executives from a different renewable energy firm and three employees of a Canadian institutional investor.
The Adani Group has not yet responded to inquiries for comment from various news outlets. The charges were made public early on Thursday in India.
Court documents reveal that a judge issued arrest warrants for both, Gautam and Sagar Adani, with plans for prosecutors to coordinate with law enforcement to execute the warrants.
Seven of the eight defendants are Indian nationals residing in India, while the eight, Cyril Cabanes, is a dual French-Australian citizen living in Singapore.
The US Securitas and Exchange Commission (SEC) also filed civil charges against Gautam Adani, Sagar Adani and Cabanes, who serves as an executive at Azure Power Global.
Cabanes has been identified as one of the employees linked to the Canadian investor involved in the case.
As per Forbes, Gautam Adani’s net worth stands at almost $70 billion, making him the 22nd richest person on earth.
US Attorney Breon Peace described the defendants as having orchestrated an “elaborate scheme” to bribe Indian officials for lucrative contracts.
He stated that Gautam Adani, Sagat Adani and Vneet Jaain misled investors regarding the bribery scheme while attempting to secure capital from US and international market.
The Deputy Assistant Attorney General, Lisa Miller, noted that the alleged offenses were committed by senior executives to obtain and finance significant state energy contracts through corruption and fraud, ultimately impacting US investors.
The US prosecution state that Gautam Adani met with Indian government officials multiple times to further the bribery scheme, and that the defendants conducted in-person meeting to strategise its implementation.
The Adani Group boasts approximately $32 billion in revenue. It has a diverse portfolio that includes ports, airports, power generation, transmissions and green energy..
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In January 2023, US-based short-seller Hindenburg Research accused Adani and his subsidiaries of stock market manipulation and fraud – allegations that the group denied.
A year later, India’s highest court ruled in favour of the Adani Group concerning the claims.