The White House has addressed the bribery and fraud allegations against Gautam Adani and his associates, stating its confidence in navigating the issue while maintaining strong ties with India. The statement follows accusations of a $265 million bribery scheme linked to India's largest solar energy project, with projected profits of $2 billion.

Official Response

Speaking to the media on November 22, 2024, White House Press Secretary Karine Jean-Pierre said:

• "We are aware of these allegations, and I would refer you to the SEC (Securities and Exchange Commission) and DOJ (Department of Justice) for specifics. Our relationship with India stands on an extremely strong foundation, anchored in trust and cooperation across global issues."
• She expressed confidence that the two nations would navigate this matter effectively, emphasizing the resilience of the India-US partnership.

Allegations and Impact

The SEC and DOJ have charged Gautam Adani, Sagar Adani, and executives from Adani Green Energy Ltd and Azure Power Global Ltd with securities fraud and wire fraud. They are accused of orchestrating a scheme to secure solar energy contracts by making misleading statements and paying bribes.

• Timeline of Alleged Activities: Between 2020 and 2024, over $250 million in bribes were allegedly paid to secure deals projected to yield over $2 billion in profits.
• US Investor Involvement: Adani Green raised $175 million from US investors during this period.

The allegations have severely impacted the Adani Group, with shares plummeting over 23% and erasing more than ₹2 lakh crore in market value.

Adani Group's Denial

In a statement, the Adani Group strongly refuted the charges, calling them "baseless and unfounded." They affirmed their commitment to exploring all legal avenues and ensuring compliance with global regulatory standards.

Implications for India-US Relations

Despite the controversy, the White House emphasized that the India-US relationship remains stable and grounded in mutual trust and cooperation. The administration believes that this issue will not derail the strong bilateral ties between the two nations.

Ongoing Investigations

The SEC and DOJ are seeking permanent injunctions, civil penalties, and bans on the accused executives from holding positions in publicly traded companies. Investigations into the matter are ongoing, with both agencies committed to resolving the allegations transparently.

Broader Context

This controversy comes amid growing scrutiny of corporate governance in global markets. While the charges pose challenges for the Adani Group, the Indian government and the US administration are expected to work towards mitigating potential disruptions to their strategic partnership.