Adani Group Stocks Rise After US Court Dismisses Criminal Case

Shares of Adani Group companies traded higher on Tuesday after a US court dismissed with prejudice the criminal case against Chairman Gautam Adani and his nephew Sagar Adani, bringing nearly two years of proceedings in the alleged fraud and bribery case to a close.

Adani Enterprises led the gains, rising as much as 0.7% during the session. Adani Green Energy also advanced 0.7%, while Adani Ports climbed up to 0.42% and Adani Energy Solutions gained 0.15%.

US Court Dismisses Criminal Charges

According to a PTI report, the US District Court for the Eastern District of New York approved the US Department of Justice's Rule 48(a) motion to dismiss the indictment against Gautam Adani, Sagar Adani and former Adani Green Energy CEO Vneet S. Jaain.

The charges included conspiracy to commit securities fraud, conspiracy to commit wire fraud and securities fraud.

Judge Nicholas Garaufis granted the motion after seeking further clarification from prosecutors regarding their decision to withdraw the case. The dismissal was made with prejudice, meaning the criminal charges cannot be refiled. However, the court clarified that the dismissal does not amount to a judicial determination on the merits of the allegations.

Case Stemmed From 2024 Allegations

The case originated in November 2024, when US prosecutors alleged that Gautam Adani, Sagar Adani, Vneet Jaain and others participated in a scheme involving around $250 million in alleged bribes to Indian government officials to secure solar power contracts.

Prosecutors had claimed the contracts could generate more than $2 billion in after-tax profits over two decades and alleged that investors were misled while the group raised over $3 billion through loans and bond issuances in US markets.

The Adani Group consistently denied the allegations, describing them as baseless and maintaining that it had complied with all applicable laws and regulatory requirements.

SEC Civil Case Settled Separately

Separately, the US Securities and Exchange Commission's (SEC) civil action has also been resolved through a final judgment against Gautam Adani. Under the settlement, Adani consented to the order without admitting or denying the allegations and agreed to pay a civil penalty of $6 million to the SEC within 30 days.

Responding to the court's decision, Gautam Adani said he welcomed it "with humility and deep respect for the judicial process."

"Throughout this challenging period, our faith in truth, fairness and the rule of law remained unwavering. My deepest gratitude to those who never lost faith in us, in the system and in India's capacity for justice. We will continue doing what matters: building for our nation, creating value that outlasts us and serving a purpose larger than ourselves. That is our commitment," he said in a post on X.