Gautam Adani addresses the 51st Gem and Jewellery Awards
Jaipur:
Adani Group Chairman Gautam Adani today responded to the legal matter involving the US Department of Justice as a challenge which the Group has faced “not for the first time”.
“As most of you would have read, less than two weeks back, we faced a set of allegations from the US about compliance practices at Adani Green Energy. This is not the first time we have faced such challenges. What I can tell you is that every attack makes us stronger and every obstacle becomes a stepping stone for a more resilient Adani Group,” Mr Adani said at the 51st Gem and Jewellery Awards in Rajasthan’s Jaipur.
“The fact is that despite a lot of the vested reporting, no one from the Adani side has been charged with any violation of the FCPA or any conspiracy to obstruct justice. Yet, in today’s world, negativity spreads faster than facts – and as we work through the legal process, I want to reconfirm our absolute commitment to world class regulatory compliance,” Mr Adani said.
He told the gathering that despite the successes of the Adani Group, the challenges it has faced were even bigger. “These challenges have not broken us. Instead, they have defined us. They have made us tougher and give us the unshakeable belief that after every fall, we will rise again, stronger, and more resilient than before.”
He recalled the attack by US-based short seller Hindenburg Research in January 2023.
“… Just as we were getting ready to launch our follow-on public offering (FPO), we faced a short-selling attack initiated from abroad. This was not a typical financial strike; it was a double hit – targeting our financial stability and pulling us into a political controversy. All of this was further amplified by certain media with vested interests. But even in the face of such adversity, our commitment to our principles remained strong,” Mr Adani said.
“After successfully raising Rs 20,000 crore from India’s largest-ever FPO, we made the extraordinary decision to return the proceeds. We then further demonstrated our resilience by raising capital from several international sources and proactively reducing our debt to EBITDA ratio to below 2.5 times, an unmatched metric in the global infrastructure space.
“Moreover, our all-time record financial results in the same year showcased our commitment to operational excellence. Not a single Indian or foreign credit rating agency downgraded us. Finally, the Supreme Court of India’s affirmation of our actions validated our approach,” Mr Adani said.
Gautam Adani, his nephew Sagar Adani, and senior executive Vneet Jaain are clear of any bribery charges per the US Department of Justice, the Adani Group has said.
Adani Green, a firm under the Adani Group, had also called media reports on the US legal matter as “incorrect”, in a stock exchange filing.
The indictment by the Department of Justice includes five counts, but the first and fifth counts – conspiracy to violate the FCPA and conspiracy to obstruct justice – do not mention the three directors, Gautam Adani, Sagar Adani, and Vneet Jaain, the Adani Group said.
The Adani Group statement said that a “flawed understanding” of the US indictment by various media, foreign as well as Indian, has led to “incorrect and reckless reporting” that the three Adani Group directors faced corruption and bribery charges.
The US indictment relies only on claims that bribes were discussed or promised. It did not offer any evidence that Indian government officials received bribes from Adani executives, the group said.