White House on Adani scandal: Strong bilateral relations to withstand challenges

New Delhi (The Uttam Hindu): The White House expressed confidence that the strong ties between India and the United States will help them navigate the fallout from the bribery and fraud charges against Indian billionaire Gautam Adani. White House Press Secretary Karine Jean-Pierre addressed the issue during a press briefing on Friday, acknowledging the charges against Adani, the chairman of the Adani Group. Adani, 62, along with his nephew Sagar Adani, 30, and other executives, has been indicted in New York for their alleged involvement in a multibillion-dollar bribery and fraud scheme to secure lucrative solar energy contracts.

Jean-Pierre stated that the Biden administration is aware of the allegations but referred reporters to the Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) for specifics. She downplayed the potential impact on US-India relations, emphasizing the strong foundation of the bilateral relationship. "Our relationship with India stands on a very solid foundation, anchored in the ties between our people and cooperation across a wide range of global issues," Jean-Pierre remarked, expressing confidence that the two countries would successfully manage the situation, as they have with other challenges.

Adani, along with executives from Adani Green Energy Ltd and Cyril Cabanes of Azure Power Global Ltd, faces charges of conspiracy to commit securities and wire fraud, as well as securities fraud. Federal prosecutors allege they orchestrated a scheme to defraud US investors and global financial institutions through false and misleading statements. The charges also involve claims of over $250 million in bribes paid to secure solar contracts from the Indian government.

The Adani Group has denied the charges, calling them "baseless." Following the allegations, the group's stock saw a sharp decline, losing over Rs 2 lakh crore in market value. The SEC's complaint claims that the bribery scheme was designed to enable Adani Green and Azure Power to capitalize on a multi-billion-dollar solar project awarded by India. The DOJ and SEC are seeking permanent injunctions, civil penalties, and bans on the executives from holding positions in publicly traded companies.