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US judge drops criminal charges against Gautam Adani

Bloomberg Markets •
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A US judge on Monday dismissed criminal charges against Indian billionaire Gautam Adani, after the justice department said it had decided to abandon the fraud and bribery case. Brooklyn-based district judge Nicholas Garaufis granted federal prosecutors’ rare bid to toss the case after inquiring into their reasons, including asking Adani whether anything was promised in exchange.

Adani was charged in 2024 with agreeing to bribe Indian officials so a subsidiary of his Adani Group could win approval for a solar energy plant, then misleading US investors. Adani Group has consistently denied wrongdoing. On 18 May, the justice department announced it would no longer pursue the case, the latest instance of dropping a high-profile white-collar prosecution during Donald Trump’s second term.

Garaufis asked the justice department to justify its decision, calling its announcement “bland and conclusory.” In a 4 July filing, senior official Trent Mc Cotter said the case was primarily foreign, hard to prove, and inconsistent with current priorities. Mc Cotter denied media stories suggesting the dismissal was partly due to a promise by Adani to invest $10bn in the US.

In response, Garaufis asked Adani about any exchange agreement. In a sworn declaration, Adani said he was not aware of any such agreement but acknowledged his lawyers told the justice department the investment pledge “might be part of a resolution.” Adani’s lawyer said the justice department told him it would not consider the investment as part of any resolution.