A federal court in New York unsealed an arrest warrant on October 31, 2024, for Indian industrialist Gautam Adani, who faces bribery and fraud charges concerning India’s solar power contracts. The warrant’s unsealing, ordered by Judge Robert M Levy, aims to facilitate cooperation with foreign law enforcement agencies.
Arrest warrant against Gautam Adani
The US Justice Department has charged Adani, his nephew, and six others with orchestrating a massive bribery scheme involving $265 million (Rs 2,029 crore) in payments to Indian government officials between 2020 and 2024. Prosecutors allege these bribes were paid to secure contracts with state electricity distribution companies.
At the centre of the case is a contract awarded to Adani Green Energy and Azure Power to supply 12 gigawatts of solar power to the Solar Energy Corporation of India (SECI). According to the indictment, when SECI struggled to find buyers due to high prices, the companies allegedly turned to bribery to salvage the deal.
Why was Gautam Adani indicted?
The US prosecutors claim the defendants concealed these illegal payments from American banks and investors who provided billions in funding for the solar project. The venture was projected to generate over $2 billion in profit over two decades.
The indictment mentions alleged bribes to government officials in five Indian states: Andhra Pradesh, Chhattisgarh, Tamil Nadu, Odisha, and Jammu and Kashmir, to secure contracts with state distribution companies.
While the alleged corruption occurred in India, US authorities assert jurisdiction because the case involves American investors and markets. Under US law, courts typically issue arrest warrants when defendants are not expected to appear voluntarily.
Adani Group calls the allegations ‘baseless’
The Adani Group has rejected the allegations, stating they are “baseless” and announcing their intention to contest the charges through legal channels.
This development marks a significant escalation in the scrutiny of one of India’s largest business conglomerates and its renewable energy operations.
