Gautam Adani Cleared of FCPA Charges, Faces Securities Violations with Penalties

Adani Green Energy (AGEL) recently responded to reports alleging that Gautam Adani, his nephew Sagar Adani, and AGEL’s managing director Vneet Jaain had violated the US Foreign Corrupt Practices Act (FCPA). The group clarified that these individuals have not been charged with any violations of the FCPA.

Following this clarification, AGEL’s shares saw an uptick of 3.79% on BSE, trading at Rs 933.45 per share. Adani Enterprises recorded a 3.53% increase, while Adani Ports and Special Economic Zone gained 1.26%. Adani Group founder Gautam Adani serves as the chairman of AGEL, with Sagar Adani holding the position of executive director there.

The US FCPA prohibits corrupt actions involving foreign officials for the purpose of gaining or retaining business. In a recent criminal indictment, US prosecutors claimed that Gautam Adani and seven others offered bribes totaling Rs 2,029 crore (US $265 million) to Indian state government officials in exchange for favorable solar energy contracts.

AGEL firmly denied these allegations, emphasizing that Gautam Adani, Sagar Adani, and Vneet Jaain have not faced any FCPA violations. This statement from AGEL aims to counter misleading media reports linking the Adani Group to FCPA infringements.

It is important to note that AGEL is committed to taking all necessary legal actions to defend the group against baseless allegations like these. The group stands by its position and remains focused on its mission in the energy sector.