Adani takes on US SEC, moves to dismiss bribery case
What's the story
Indian billionaire Gautam Adani, the chairman of Adani Group, is seeking to have a US Securities and Exchange Commission (SEC) civil fraud case dismissed. The SEC had accused him and his nephew Sagar of running a bribery scheme to benefit Adani Green Energy. The allegations stem from an alleged failure by Adani Green Energy to disclose this scheme in documents for a $750 million bond offering in 2021.
Legal defense
No credible evidence to support bribery scheme allegations: Adani's lawyers
In a recent filing with the Brooklyn federal court, Adani's legal team disputed the SEC's claims of a bribery scheme. They argued that there was no credible evidence to support these allegations. The lawyers also noted their clients' lack of involvement in the bond offering and absence of any intent to defraud or negligence as grounds for dismissal.
Jurisdictional challenge
Adani's legal team also challenged SEC's claims on jurisdictional grounds
Adani's lawyers also challenged the SEC's claims on jurisdictional grounds, calling them "impermissibly extraterritorial." They argued that all alleged misconduct took place in India and the bonds were never traded on a US exchange. This legal maneuver is part of Adani's broader strategy to counter the SEC's allegations and seek dismissal of the case by April 30.
Criminal proceedings
Related criminal case remains inactive since late 2024
Along with the civil case, US prosecutors had also filed a related criminal case against Adani and several other defendants in November 2024. However, there have been no public developments in that case since December 2024. The lack of progress on both fronts highlights the ongoing legal challenges faced by one of India's most prominent business figures.