US judge drops bribery and fraud case against Indian billionaire Gautam Adani
The judge, however, criticised the way the Justice Department decided to drop the case.
A US judge has dismissed a high-profile bribery and fraud case against Indian billionaire Gautam Adani, chairman of Adani Group and one of India's wealthiest individuals.
Adani, who was accused in 2024 of allegedly bribing Indian officials for renewable energy projects and misleading US investors, has consistently denied any wrongdoing. He welcomed the court's decision, expressing "humility" and "deep respect" for the judicial process.
US District Judge Nicholas Garaufis approved the Justice Department's request to drop the charges in a 47-page order on Monday. However, the judge strongly criticized the manner in which the decision was reached. He noted that R Trent McCotter, principal associate deputy attorney general, had collaborated with Adani's lawyers on the dismissal without consulting the prosecutors and investigators directly involved in the case.
Judge Garaufis described this process as "highly unusual," suggesting that McCotter appeared to have substituted his own judgment for that of the officials who handled the investigation. The BBC, while not having seen the official court-filed order, reviewed a copy published by CourtListener, a US non-profit court archive, a review also undertaken by other news organizations.
In May, the Justice Department sought the dismissal of charges, citing that much of the alleged conduct occurred outside the US, making prosecution difficult, and that pursuing the case no longer aligned with the department's priorities. This request followed Adani's engagement of a new legal team led by Robert J Giuffra Jr, co-chair of the US law firm Sullivan & Cromwell and personal lawyer to President Donald Trump. Giuffra reportedly met with Justice Department officials earlier this year to voice concerns about the case.
Initially, Judge Garaufis resisted the government's request, stating in June that the explanation for abandoning the prosecution was insufficient and demanding more information. He also questioned whether Adani's pledge to invest $10 billion (£7.5 billion) in the US and create 15,000 jobs had influenced the decision. Adani had announced this investment in November 2024, in a post congratulating Donald Trump on his election victory. Subsequent reports indicated that Adani's lawyers had brought up this investment during discussions with the Justice Department regarding the case. Adani's lawyers maintained that the investment was never offered in exchange for dropping the charges.
Ultimately, Judge Garaufis concluded that the investment had not influenced the Justice Department's decision. Nevertheless, he stated that the public could draw its own conclusions about how such discussions might impact perceptions of equal justice and the rule of law. The judge also found that McCotter's decision appeared to have been made without significant input from the prosecutors who initiated the case or investigators from the FBI and Securities and Exchange Commission. "The irregularities in the decision to dismiss the indictment are concerning," Garaufis wrote.
The charges against Adani were dismissed with prejudice, meaning they cannot be refiled. Adani, who never appeared in a US court during the proceedings, welcomed the ruling, stating on X, "Throughout this challenging period, our faith in truth, fairness and the rule of law remained unwavering."
This criminal case is distinct from other US proceedings involving Adani and his companies. In May, Adani agreed to pay $6 million, and his nephew, Sagar Adani, agreed to pay $12 million, to settle Securities and Exchange Commission allegations related to investor disclosures, without admitting or denying wrongdoing. Separately, Adani Enterprises, the group's flagship company, agreed to pay $275 million to settle potential civil liability over apparent violations of US sanctions on Iran.
Adani, 64, chairs the Adani Group, a vast conglomerate with interests spanning energy, ports, airports, and other infrastructure. He is among India's wealthiest individuals and is widely perceived to have close ties with Prime Minister Narendra Modi; both men hail from the western state of Gujarat.