Adani Group rejects SEC allegations as 'baseless'; vows legal recourse

The Adani Group has dismissed the allegations, made by the US Department of Justice and the SEC against Gautam Adani and nephew Sagar Adani, as "baseless" and denied them in an official statement released to the exchanges.

“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,” said an Adani Group’s spokesperson in an official statement.

The NSE had sought clarification from the various Adani group’s companies listed on the market earlier today regarding the allegations made by the US SEC.

The group says that the US Department of Justice itself has claimed that these charges in the indictment are "allegations" and thus the former “must be presumed innocent unless and until proven guilty.”

“All possible legal recourse will be sought. 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 statement added.

In a development that has sent shockwaves through the Indian market, the US Securities and Exchange Commission (SEC) today charged Gautam Adani, Sagar Adani, and Cyril Cabanes with orchestrating a bribery scheme to secure multi-billion-dollar solar energy projects from the Indian government. The SEC claims that the alleged plot involved paying or promising hundreds of millions of dollars in bribes to secure commitments for above-market energy purchases that benefited Adani Green and Azure Power.

The allegations relate to Adani Green's historic solar energy agreements during 2020-21, including an 8,000 MW manufacturing-linked solar tender and a power purchase agreement with SECI. The SEC seeks permanent injunctions, civil penalties, and officer and director bans against the accused. The regulator emphasised holding corporate officers accountable for securities law violations and deceptive practices that induced US investor participation.