India’s Adanis agree to pay $18m to settle civil fraud case in the US
Indian billionaire Gautam Adani and his nephew Sagar Adani have agreed to pay a combined $18 million in civil penalties to settle a US securities fraud case brought by the Securities and Exchange Commission (SEC).
Nature of the US case
The SEC’s 2024 civil lawsuit alleged that the Adanis misled American investors about Adani Green Energy’s compliance with anti‑bribery rules while raising funds through bond offerings; it also claimed they orchestrated a bribery scheme tied to Indian solar‑power contracts. Around $750 million was raised in the relevant bond sale, with roughly $175 million coming from US investors, according to the SEC.
Terms of the settlement
Under the proposed settlement, which is pending court approval, Gautam Adani will pay $6 million and Sagar Adani $12 million in penalties. The agreement does not require them to admit or deny the allegations, but it bars them from future violations of key US anti‑fraud, securities‑fraud, and market‑manipulation rules.
Impact on Adani and US probes
The settlement is seen as helping Gautam Adani wind down major US‑based legal threats, with reports suggesting that parallel criminal fraud charges by the US Department of Justice are also expected to be dropped. News of the deal has been received positively in markets, with shares of several Adani‑group companies rallying after the settlement became public.
