Mint Explainer: The Adani bribery charges and the US legal process
Subscribe to enjoy similar stories. Indian billionaire Gautam Adani and some associates are facing serious allegations of fraud brought by the US attorney’s office in New York. According to prosecutors, the Adani group orchestrated a yearslong scheme involving the payment of $250 million in bribes to Indian government officials to secure favourable terms for solar power contracts awarded to Adani Green Energy Ltd and Azure Power Global Ltd, a New Delhi-based firm that was previously listed on the New York Stock Exchange.
The charges, which include violations of US anti-corruption and fraud laws, carry significant legal and financial implications. Mint explains the legal process in the US justice system involved in the Adani case. Gautam Adani, the chairman of Adani group and Adani Green Energy, and seven executives have been indicted by the US Department of Justice (DOJ) on five counts: 1.Bribery: Allegedly paying about $250 million to Indian officials between 2020 and 2024 to secure solar energy contracts.
2.Securities fraud: Inflating stock values by concealing these bribery activities and misleading investors. 3.Wire fraud: Using interstate communications to carry out fraudulent schemes. 4.Violations under the US Foreign Corrupt Practices Act (FCPA): Offering bribes to foreign officials to gain business advantages.
5.Accounting fraud: Failing to disclose illicit payments and submitting false financial reports. The FCPA, enacted in the 1970s, aims to curb bribery and fraud in international business dealings. It prohibits US companies, citizens, and certain foreign entities from offering bribes to foreign officials to secure business advantages.
Read more on livemint.com
