Adani Green Energy Ltd (AGEL) has released an official statement clarifying that Gautam Adani, Sagar Adani and senior executive Vneet Jaain have not been charged with violations of the United States Foreign Corrupt Practices Act (FCPA). This announcement comes in response to media reports suggesting otherwise, which the company has categorically refuted as incorrect.
In its clarification, AGEL addressed claims made in recent media articles, stating:
“Mr Gautam Adani, Mr Sagar Adani and Mr Vneet Jaain have not been charged with any violation of the FCPA in the counts set forth in the indictment of the US DOJ or civil complaint of the US SEC. These directors have been charged on three counts in the criminal indictment, namely: (i) alleged securities fraud conspiracy, (ii) alleged wire fraud conspiracy, and (iii) alleged securities fraud,” read the statement from Adani Green Energy Ltd.
The company further emphasised that the charges listed in the US Department of Justice (DOJ) indictment and the civil complaint by the US Securities and Exchange Commission (SEC) do not include allegations of bribery or corruption against these individuals.
AGEL provided additional clarification regarding the charges outlined in the indictment. It stated that the criminal indictment lists three counts against Gautam Adani, Sagar Adani and Vneet Jaain:
- Alleged securities fraud conspiracy
- Alleged wire fraud conspiracy
- Alleged securities fraud
The company stressed that none of these counts pertain to any violations of the FCPA.
Count 1 of the indictment, involving conspiracy to violate the FCPA, names Ranjit Gupta, Cyril Cabanes, Saurabh Agarwal, Deepak Malhotra and Rupesh Agarwal as defendants. Meanwhile, Counts 2, 3, and 4—pertaining to securities fraud conspiracy, wire fraud conspiracy, and securities fraud tied to the 2021 144A bond issuance—list Gautam Adani, Sagar Adani and Vneet Jaain as defendants.
Count 5, related to conspiracy to obstruct justice, names Cyril Cabanes, Saurabh Agarwal, Deepak Malhotra and Rupesh Agarwal, but does not implicate Gautam Adani or his associates.
AGEL dismissed recent media reports as misleading and clarified that the charges do not include FCPA violations or obstruction of justice allegations against Gautam Adani, Sagar Adani or Vneet Jaain. The company stated that issuing this clarification was essential to curb the spread of misinformation.
Senior advocate and former Attorney General Mukul Rohatgi also weighed in on the matter, reiterating that Gautam Adani and his nephew have not been charged with FCPA violations in the indictment filed by US prosecutors in a bribery case.
Rohatgi explained: “There are five counts or charges in this indictment, but Counts 1 and 5 are more significant. Gautam Adani and his nephew have not been charged under Count 1, which pertains to the FCPA and is comparable to India’s Prevention of Corruption Act. They have also not been charged under Count 5, related to obstruction of justice. Some foreign individuals are named in these counts.”
He further noted that while the indictment mentions allegations of bribes paid to Indian entities for solar power contracts, it does not specify how the alleged bribes were made.
Since the intimation of the US DoJ Indictment, the group has suffered a loss of near US$55 Bn in its market capitalisation across its 11 listed companies.
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