US charges Indian billionaire Gautam Adani with fraud

Indian billionaire Gautam Adani has been charged with fraud in the US, accusing him of orchestrating a $250 million (£198 million) bribery scheme and hiding it in the US to raise money.

The criminal charges filed in New York on Wednesday are the latest blow to Mr. Adani, 62, one of India’s richest men, whose business empire ranges from ports and airports to renewable energy.

In the indictment, prosecutors alleged that the businessman and other top executives agreed to pay Indian officials to win contracts for the renewable energy company, which was expected to generate more than $2 billion in profits over 20 years.

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

The conglomerate has been operating under a cloud in the US since 2023, when a high-profile company published a report accusing it of fraud. The allegations, which Mr Adani denied, sparked a massive sell-off in the market.

Reports of this bribery investigation have been circulating for months. The United States began investigating the company in 2022 and the investigation was blocked, prosecutors said.

They allege that executives raised $3 billion in loans and bonds in the United States based on false and misleading statements about the firm’s anti-bribery practices and policies, as well as reports about the bribery investigation.

“The defendants allegedly orchestrated an elaborate scheme to bribe Indian government officials to secure contracts worth billions of dollars and… lied about the bribery scheme while attempting to raise capital from U.S. and international investors,” U.S. Attorney Breon Peace said. he said. A statement explaining the accusations.

“My office is committed to rooting out corruption in the international marketplace and protecting investors from those who seek to enrich themselves at the expense of the integrity of our financial markets,” he added.

Officials said Mr. Adani personally met with government officials on several occasions to further the bribery scheme.

Mr. Adani is a close ally of Indian Prime Minister Narendra Modi. He has long faced allegations that he has benefited from the political ties of opposition politicians, which he denies.

U.S. Attorney positions in the United States are appointed by the president. The filing comes just weeks after Donald Trump was elected to the White House promising to overhaul the US Justice Department.

On social media last week, Mr. Adani congratulated Mr. Trump on his election victory and promised to invest $10 billion in the United States.