US Fraud Case Against Adani Strong, But Extradition Unlikely

NEW YORK, NY (Reuters) – The U.S. fraud case against Indian billionaire Gautam Adani appears strong, legal experts say, but extradition to stand trial in the United States remains unlikely.

Federal prosecutors in Brooklyn unsealed an indictment in November accusing Adani of bribing Indian officials to secure electricity contracts for Adani Green Energy, a subsidiary of his Adani Group conglomerate, and misleading U.S. investors about the company’s anti-corruption practices.

Adani, his nephew Sagar Adani, and another Adani Group executive face charges of securities fraud and conspiracy. Five individuals affiliated with Azure Power Global, a formerly U.S.-listed company, were also charged with conspiracy to violate the Foreign Corrupt Practices Act (FCPA). Azure stated it cooperated with the investigation and that those charged no longer work for the company.

Prosecutors cited evidence including ledgers of alleged bribe payments found on Sagar Adani’s phone and emails Gautam Adani sent himself regarding a search warrant and grand jury subpoena served on his nephew. These records could strengthen the case by demonstrating knowledge of misconduct and deliberate investor deception, experts suggest.

Adani Group has called the allegations “baseless,” pledging to pursue legal remedies. Gautam Adani, who remains at large, has made public appearances in India, including at a December 9 event with Prime Minister Narendra Modi.

Challenges may include securing testimony from Indian witnesses, which could require New Delhi’s cooperation. India’s foreign ministry has not received any U.S. request on the case, referring to the matter as one between private firms and the U.S. Justice Department.

Conspiracy to violate the FCPA carries a penalty of up to five years in prison, while the fraud charges could result in up to 20 years. Drew Rolle, deputy chief of the Brooklyn U.S. Attorney’s business and securities fraud section, emphasized the importance of protecting U.S. capital markets and warned that companies accessing these markets must “play by the rules.”

Also Read: Gautam Adani Indicted In New York For Multibillion-Dollar Fraud, Bribery