US District Judge Nicholas Garaufis has granted the Justice Department’s request to abandon the fraud and bribery prosecution of Indian billionaire Gautam Adani after federal prosecutors abandoned the case.
The decision ends, for now, one of the most significant legal threats facing the Adani Group, an Indian infrastructure conglomerate with interests spanning ports, airports, electricity, renewable energy and logistics.
In May, the Justice Department said it would no longer pursue the criminal case arguing that the alleged conduct occurred primarily outside the US, would be difficult to prove and did not align with the department’s current priorities.
However, the judge said the dismissal should not be interpreted as an endorsement of the government’s decision or as an opinion on the merits of the allegations against the billionaire.
Judge Garaufis subsequently examined whether Mr Adani’s pledge to invest $10 billion in the US had influenced the decision and said he was satisfied that the investment commitment was not a factor. However, he criticised the process through which senior Justice Department official Trent McCotter decided to abandon the prosecution.
“The irregularities in the decision to dismiss the indictment are concerning,” Reuters quoted Judge Garaufis as saying.
Charges Brought Against Andani Group
US prosecutors indicted Mr Adani and seven other business executives of bribery in November 2024. The US Justice Department at the time alleged that more than $250 million in bribes had been promised to Indian government officials to secure solar energy contracts expected to generate more than $2 billion in profits over approximately 20 years.
Prosecutors also accused Mr Adani and other executives of concealing the alleged scheme while raising billions of dollars from US investors and international financial institutions. The accusations had immediate consequences with Kenya cancelling more than $2.5 billion in proposed Adani airport and electricity projects at the time.
