LIC’s Multi-Thousand Crore Investments in Adani Group Draw Parliamentary and Public Attention
LIC’s investments in Adani Group companies total ₹48,284.62 crore as of September 30, 2025, comprising ₹38,658.85 crore in equity and ₹9,625.77 crore in debt across seven entities. This exposure has sparked parliamentary questions and public debate, particularly after a Washington Post report alleging government coordination for a $3.9 billion bailout plan. Finance Minister Nirmala Sitharaman affirmed in Lok Sabha that LIC decisions follow internal due diligence without government directives.
Investment Breakdown
LIC’s holdings span Adani Enterprises Ltd, Adani Total Gas Ltd, Adani Green Energy Ltd, Adani Energy Solutions Ltd, Adani Ports and SEZ Ltd (APSEZ), Ambuja Cements Ltd, and ACC Ltd. Notably, ₹5,000 crore went into APSEZ’s secured non-convertible debentures in May 2025, marking LIC’s fifth-largest private-sector debt position. Equity investments align with LIC’s strategy in top 500 NSE/BSE-listed firms, where Nifty 50 stocks represent 45.85% of its ₹9.40 lakh crore equity book.
Parliamentary Scrutiny
MPs Mohammed Jawed and Mahua Moitra questioned potential nudges from the Finance Ministry or Department of Financial Services, due diligence involving SEBI/RBI, and risks to policyholders. The government denied directives, citing compliance with Insurance Act, IRDAI, SEBI, and RBI norms, plus multi-layer audits. It withheld a full private-sector investment list to protect commercial interests.
Public and Political Reaction
Opposition leaders like Jairam Ramesh and Congress demanded a Joint Parliamentary Committee or PAC probe, labeling it a “Modani MegaScam” misusing policyholder savings. A YouTube analysis highlighted ₹33,000 crore exposure risks amid earlier reports. LIC refuted Washington Post claims of forced $3.9 billion investments.
