Adani Group has come out to deny allegations of fraud levelled against its directors led by Gautam Adani by the US Department of Justice.

In a statement on Thursday, November 21, 2024, the Indian conglomerate described the allegations as baseless.

While absolving itself from bribery allegations, the Indian firm which specialises in ports, airports and renewable energy, announced plans to lodge a legal battle in a bid to clear its name in the US.

“The allegations made by the US Department of Justice and the US Securities and Exchange Commission against directors of Adani Green are baseless and denied,” the statement shared by the company spokesperson read in part.

“As stated by the US Department of Justice itself, the charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty. All possible legal recourse will be sought,” it added.

Assurance to stakeholders

Amidst scrutiny from other parts of the country, Adani Group assured its stakeholders and partners that the company has always upheld the highest standards of integrity in its operations.

The Indian conglomerate also moved to allay the fears of its employees, maintaining that the firm is law-abiding.

“The Adani Group has always upheld and is steadfastly committed to maintaining the highest standards of governance, transparency and regulatory compliance across all jurisdictions of its operations. We assure our stakeholders, partners and employees that we are a law-abiding organisation, fully compliant with all laws,” the company stated.

US indictment

The statement comes hours after news of its indictment spread worldwide, sparking concern in some countries where the Indian firm had expressed interest in pursuing some projects including Kenya.

According to the US Attorney’s Office in the Eastern District of New York, Gautam Adani will be charged with conspiracies to commit securities and wire fraud.

Gautam Adani, who is one of Indian wealthiest individuals is expected to be charged alongside Sagar R. Adani and Vneet S. Jaain, executives of an Indian renewable-energy company.

In a statement, the US Department of Justice also listed Ranjit Gupta and Rupesh Agarwal, former executives of a renewable-energy company, Cyril Cabanes, Saurabh Agarwal and Deepak Malhotra, former employees of a Canadian institutional investor.

While arguing the case, the prosecutors accused Gautam and other executives of parting ways with a Ksh32 billion bribe.

“These offences were allegedly committed by senior executives and directors to obtain and finance massive state energy supply contracts through corruption and fraud at the expense of U.S. investors. The Criminal Division will continue to aggressively prosecute corrupt, deceptive, and obstructive conduct that violates U.S. law, no matter where in the world it occurs,” FBI Assistant Director in Charge Dennehy stated.

“Gautam Adani and seven other business executives allegedly bribed the Indian government to finance lucrative contracts designed to benefit their businesses. Adani and other defendants also defrauded investors by raising capital on the basis of false statements about bribery and corruption, while still other defendants allegedly attempted to conceal the bribery conspiracy by obstructing the government’s investigation.”

Despite the US indictment, Energy Cabinet Secretary Opiyo Wandayi has already announced the deal between Adani and the Kenya Transmission Company (KETRACO) would proceed.