A US federal judge on Tuesday dismissed criminal charges against Gautam Adani and seven other executives, ending a bribery and fraud case that had hung over the Indian conglomerate for months. The indictment had accused the defendants of promising more than $250 million in bribes to Indian officials to secure solar energy contracts.
Why the case collapsed
The Justice Department had signaled in May that it would drop the case. Principal Associate Deputy Attorney General Trent McCotter argued the matter was primarily foreign, hard to prove, and inconsistent with current department priorities. Brooklyn US District Judge Nicholas Garaufis granted the dismissal but expressed unease, citing irregularities and noting that McCotter had eschewed the professional opinions of numerous federal officials.
Market reaction: no relief rally
Despite the legal win, six of seven Adani-branded stocks fell on Tuesday, with no stock moving more than 2%. AWL Agri Business led declines with a 1.66% drop to ₹192.87, followed by Adani Power at 1.06% and Adani Ports at 1.01%. Adani Green Energy, Adani Enterprises, and Adani Energy Solutions each shed less than 0.8%, with Adani Enterprises closing at ₹2,988. Adani Total Gas was the only gainer, edging up 0.74% to ₹665.
The muted response suggests the market had already moved past the legal issues, which had been public for months.
Adani's response
Gautam Adani tweeted welcoming the court's decision with humility and respect, reaffirming faith in the judicial process. He did not address the specific allegations or the judge's concerns about how the case was handled.
The dismissal closes the US criminal chapter, but the judge's pointed remarks about the Justice Department's approach leave questions about internal disagreements within the department. No further court dates are scheduled.
