Gautam Adani gets major legal relief in US: Judge dismisses fraud, bribery charges after Justice Department drops case
A US federal judge has dismissed the criminal charges against Indian billionaire Gautam Adani after the US Justice Department decided to abandon its bribery and
A US federal judge has dismissed the criminal charges against Indian billionaire Gautam Adani after the US Justice Department decided to abandon its bribery and fraud case against him and other defendants. Brooklyn-based US District Judge Nicholas Garaufis approved prosecutors' request to dismiss the case on Monday (August 10), bringing an end to a high-profile legal battle that began with Adani's indictment in 2024. What was Gautam Adani accused of? US prosecutors had accused Adani and other executives of participating in a scheme to pay bribes to Indian government officials to help secure lucrative contracts for a solar energy project. The case centred on Adani Green Energy Ltd. and another company involved in an arrangement to sell around 12 gigawatts of solar power to the Indian government. Prosecutors alleged that the companies stood to benefit significantly from the deal and that bribes were offered to Indian officials to secure the necessary approvals.
Adani was indicted in a federal court in Brooklyn in 2024 on charges including conspiracy, securities fraud and wire fraud. The allegations were strongly denied by the Adani Group, which described the charges as baseless. Why did the US drop the case? The Justice Department said it had decided, in its prosecutorial discretion, not to devote additional resources to the criminal charges. In a July 4 court filing, senior Justice Department official R. Trent McCotter said the case was primarily foreign, difficult to prove and inconsistent with the department's current enforcement priorities. Prosecutors had initially announced in May that they would no longer pursue the case. “The Department of Justice has reviewed this case and has decided, in its prosecutorial discretion, not to devote further resources to these criminal charges against individual defendants,” prosecutors said in a court filing. The decision was unusual enough for Judge Garaufis to seek further explanations before agreeing to dismiss the indictment.
Why did the judge question the Justice Department? Garaufis initially said the government's explanation was too limited. He described the Justice Department's announcement as “bland and conclusory” and asked prosecutors to provide more information about why they wanted the case dismissed. The judge also wanted to establish whether anything had been promised in exchange for dropping the charges. That question was significant because reports had suggested that Adani's previously announced plans to invest billions of dollars in the US could have played a role in the decision. Was Adani promised anything? Adani told the court that he was not aware of any agreement involving an exchange of something of value for the dismissal of the case. In a sworn declaration filed on July 15, Adani acknowledged that he had previously pledged to invest $10 billion in the United States. He also said his lawyers had told Justice Department officials during meetings that the investment pledge “might be part of a resolution of these matters.” However, Adani denied knowing of any agreement linking the investment to the dismissal of the indictment.
The BriefWire