US Court Orders Gautam Adani To File Sworn Statement In Bribery Case

Gautam Adani must submit a sworn statement to a US federal court by July 15, US District Judge Nicholas Garaufis directed. The billionaire must clarify whether he is aware of any promise, agreement, or benefit tied to the US government dropping his criminal indictment.

This directive comes as the court reviews the Justice Department's request to dismiss the case. The billionaire is expected to submit the document this week. The Adani Group declined to comment, stating that the matter is sub judice.

The legal action stems from a 2024 case initiated during the Biden administration. US prosecutors accused the industrialist and seven others of planning a $50 million payoff to Indian officials to secure energy contracts. The charges also alleged that they misled investors to raise funds in the US markets. Adani has denied the allegations.

The Justice Department's Justification

The move follows a June submission by R Trent McCotter, Principal Associate Deputy Attorney General at the US Department of Justice. McCotter stated he acted as the "final and sole decision-maker" in seeking to throw out the indictment with prejudice.

The official dismissed press reports linking the decision to the group's proposed $10bn US investment. McCotter called those claims "false" and added that he would have pushed to drop the case even if no investments had been discussed.

The securities fraud charges lacked legal viability, McCotter stated. Most of the disputed actions occurred in India, where local regulators investigated and cleared the parties of wrongdoing. Furthermore, investors faced no financial damage, crucial evidence and witnesses sat beyond American jurisdiction, and the accused were highly unlikely to stand trial in a US courtroom.

The Foreign Corrupt Practices Act charges failed to match the enforcement focus of the Trump administration, McCotter stated. Current priorities target cases involving US national security, American firms or transnational criminal syndicates. Dropping the prosecution was an easy decision that should have occurred a year ago, McCotter added.

Scrutiny of Dismissal

Judge Garaufis said McCotter's filing introduced a new possibility. The filing suggested an undisclosed agreement involving one or more defendants may have existed.

The judge said Adani's lawyers previously consented to the dismissal. However, the legal team made no reference to any agreement, including US investment commitments.

Under Rule 48(a), the court must be satisfied before approving the dismissal. The judge must confirm the Justice Department's stated reasons are genuine and that no undisclosed agreement influenced its decision.