Adani Group shares will be in focus on Wednesday after the statement from Adani Green Energy that says “Gautam Adani, Sagar Adani, and Vneet Jaain have not been charged with violations of the Foreign Corrupt Practices Act (FCPA) in an indictment by the United States Department of Justice (DOJ) or a civil complaint by the US Securities and Exchange Commission (SEC).” The company clarified this in an official statement to stock exchanges.
Clarification on FCPA Allegations
Adani Green Energy, in a press release, stated that allegations of bribery or corruption against its directors are unfounded. It noted that media reports suggesting violations of the FCPA by Gautam Adani, Sagar Adani, and Vneet Jaain are incorrect.
“Media articles stating that certain of our directors—namely Mr. Gautam Adani, Mr. Sagar Adani, and Mr. Vneet Jaain—have been charged with FCPA violations are misleading. These individuals are not named in any counts related to bribery, corruption, or conspiracy to obstruct justice,” Adani Green Energy clarified.
Charges Detailed in Indictment and Civil Complaint
As per available reports so far, the DOJ indictment highlights that Gautam Adani, Sagar Adani, and Vneet Jain involved in –
- Securities Fraud Conspiracy
- Wire Fraud Conspiracy
- Securities Fraud
Also ReadBreak in FII selling after 38 days, foreign investors buy Rs 9947 cr on Nov 25
The criminal indictment, referenced as Cr. No. 24-CR433, was filed in the United States District Court for the Eastern District of New York.
Separately, the SEC has filed a civil complaint (Case No. 1:24 Civ. 8080) against Gautam Adani and Sagar Adani, alleging:
1. Violations of specific sections of the Securities Act of 1933 and the Securities Exchange Act of 1934.
2. Aiding and abetting AGEL in its violations of these acts.
Allegations of Concealment and Fraud
US authorities claim that the charges stem from an alleged scheme to conceal critical information from investors and financial institutions in the United States. The accusations revolve around billions of dollars raised by Adani Group for renewable energy projects, with the alleged misconduct spanning years under scrutiny.
The DOJ indictment and SEC civil charges implicate not just Adani officials but also executives of Azure Power Global and three former employees of the Canadian pension fund,
» Read More
