Billionaire Gautam Adani and his nephew Sagar Adani have not been charged with any violations of the U.S. Foreign Corrupt Practices Act (FCPA) in the indictment filed by U.S. authorities in a court in a bribery case, the Adani Group said on Wednesday (November 27, 2024).
Gautam Adani, founder chairman of the ports-to-energy conglomerate, Sagar Adani and another key executive, Vneet Jaain, have been charged by the U.S. Department of Justice with being part of an alleged scheme to pay $265 million in bribes to Indian officials to win contracts for supply of solar electricity that would yield $2 billion profit over a 20-year period.
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In a stock exchange filing, Adani Green Energy Ltd, which is at the centre of the bribery allegations, said reports claiming that the three have been charged with FCPA violations “are incorrect”.
They have been charged with offences that are punishable with a monetary fine or penalty.
“Gautam Adani, Sagar Adani and Vneet Jaain have not been charged with any violation of the FCPA in the counts set forth in the indictment of the US DOJ or civil complaint of the US SEC.”
“These directors have been charged on three counts in the criminal indictment, namely (i) alleged securities fraud conspiracy, (ii) alleged wire fraud conspiracy, and (iii) alleged securities fraud,” the filing said.
The Adani Group has denied all allegations and said it will take all possible legal recourse to defend itself.
A criminal indictment has been filed before the United States District Court Eastern District of New York by the Department of Justice in the case of USA against Gautam Adani, Sagar Adani and Vneet Jaain.
“The indictment does not specify any quantum of any fine/penalty,” the company said.
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The civil complaint alleges that the executives violated certain sections of the Securities Act of 1933 and the Securities Act of 1934, and aided and abetted Adani Green Energy Limited’s violation of the Acts, it said.
“Although the complaint prays for an order directing the defendants to pay civil monetary penalties, it does not quantify the amount of penalty,” it said.
Published – November 27, 2024 10:33 am IST