Adani says empire emerges stronger from US corruption case.
The headquarters of the Adani Group in Ahmedabad, India, Friday, Nov. 22, 2024. Most of Adani Group's shares have recovered, including in the green energy sector, after corruption charges brought by U.S. prosecutors against founder Gautam Adani wiped $27 billion off the market value of the conglomerate's shares on Thursday.
(Bloomberg) — Indian billionaire Gautam Adani struck a belligerent tone in his first public statements since U.S. prosecutors indicted him in an alleged $250 million bribery scheme, saying "every attack" makes his conglomerate stronger.
In his first appearance since the indictment became public on November 22, Indian billionaire Gautam Adani struck a combative tone in his first public statements since US prosecutors indicted him in an alleged $250 million bribery scheme, saying that "every attack" makes his conglomerate stronger. 21, Asia's second-richest man said he was working on the legal process "to reaffirm our absolute commitment to global regulatory compliance."
"This is not the first time we have faced such challenges," Adani said in prepared remarks at a jewelry awards ceremony in Jaipur, India, on Saturday. "What I can tell you is that every attack makes us stronger and every setback becomes a step towards a more resilient Adani group."
The indictment sent Adani's shares plummeting, prompted Adani Green to drop a $600 million bond and set off an investigation by India's securities regulator. U.S. prosecutors say Adani and its associates lied to American investors about their anti-corruption practices while promising more than $250 million in bribes to Indian officials to win solar power contracts.
Adani executives are charged with three counts of fraud. The other defendants are accused of violating the Foreign Corrupt Practices Act, which prohibits U.S.-linked entities from bribing foreign officials. On Saturday, Adani accused "too many invested journalists" of spreading "negativity" about the nature of the US allegations. Adani Group has denied allegations of misconduct by its executives and said it would defend itself in court.
It also cited a "short-selling attack initiated from abroad" – a reference to a January 2023 Hindenburg Inquiry report – that alleged widespread corporate fraud, which was driving the actions of its companies. Adani Group has denied any wrongdoing.
The challenges "have made us tougher," Adani said in prepared remarks. The Indian government has distanced itself from the controversy and said the two countries have not discussed the issue. "We consider this to be a legal matter involving private companies and individuals, as well as the US Department of Justice," Indian Foreign Ministry spokesman Randhir Jaiswal said on Friday.
"We were not informed in advance about this matter. We have not had any discussions on this particular issue with the US government," Jaiswal said, adding that any request from a foreign government to serve a subpoena or warrant is part of mutual legal assistance that is reviewed on a case-by-case basis. . on its merits "We have not received any request on this issue from the US."
FCPA investigations can typically take years. Adani Green announced on Wednesday that it is facing yet-to-be-determined financial penalties in a civil case. The group also said it has suffered an erosion of nearly $55 billion in the market value of the shares of its 11 listed companies following the US indictment.
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