Gautam Adani and his nephew Sagar Adani have been summoned by the US Securities and Exchange Commission (SEC) over allegations of paying $265 million (₹2,200 crore) in bribes to secure solar energy contracts, according to a report.
The summons, issued through the New York Eastern District Court on November 21, demand a response within 21 days. Failure to reply could result in a default judgment against the Adanis, the notice warned. The documents were delivered to their residences in Ahmedabad.
The notice stated, “You must serve on the plaintiff (SEC) an answer to the attached complaint or a motion under Rule 12 of the Federal Rules of Civil Procedure…If you fail to respond, judgment by default will be entered against you.”
Bribery Allegations and Indictment
The SEC and the US Department of Justice have accused Gautam Adani, Sagar Adani, and six others, including Azure Power Global executive Cyril Cabanes, of paying bribes between 2020 and 2024 to Indian government officials to win solar energy contracts. These contracts were allegedly projected to generate $2 billion in profits over 20 years.
The indictment also claims that the Adani group raised $2 billion in loans and bonds, including from US-based entities, by misrepresenting their anti-bribery policies and hiding the ongoing investigation.
Adani Group’s Response
The Adani group has denied the allegations, asserting its commitment to legal compliance and governance standards. “We assure our stakeholders, partners, and employees that we are a law-abiding organisation fully compliant with all laws,” the company said in a statement, adding that it would explore all legal remedies.
Legal Implications
An indictment in the US represents a formal charge, allowing the accused to prepare a defense. The unsealed charges also indicate that the investigation, which began in 2022, reportedly faced attempts at obstruction during the probe.
Requests for comment from Adani Group representatives went unanswered, according to Bloomberg.
