Indian industrialist Gautam Adani has urged a federal court in the United States to formally terminate the criminal proceedings initiated against him in connection with bribery and securities fraud allegations, following the decision of the US Department of Justice (DOJ) last month to abandon the prosecution.
Through a letter submitted by law firm Sullivan & Cromwell LLP to Judge Nicholas Garaufis of the United States District Court for the Eastern District of New York, the counsel appearing for Gautam Adani, his nephew Sagar Adani and Vineet Jain, Managing Director of The Times Group, sought dismissal of the indictment with prejudice, which would permanently bar the revival of the criminal charges. The defence also requested the court to approve the proposed consent judgments filed by the US Securities and Exchange Commission for the resolution of the parallel civil enforcement proceedings.
The criminal case originated from an indictment unsealed by the DOJ on November 20, 2024. Federal prosecutors alleged that Gautam Adani, Sagar Adani and others were involved in a scheme to pay bribes to Indian government officials to secure regulatory approvals for solar power projects linked to a subsidiary of the Adani Group. The prosecution further alleged that investors and financial institutions were misled through representations concerning the group’s anti-corruption compliance framework while raising funds through bond offerings and syndicated loans.
On the same day, the SEC instituted civil proceedings against Gautam and Sagar Adani, alleging violations of Section 17(a) of the Securities Act, Section 10(b) of the Securities Exchange Act and Rule 10b-5. According to the regulator, investors were not informed about an alleged bribery arrangement connected to renewable energy contracts in India while securities were being marketed to international investors.
The allegations were linked to bond offerings undertaken by Adani Green Energy Limited and fundraising transactions conducted between 2021 and 2024. The SEC had alleged that approximately USD 750 million was raised through a bond issuance, including around USD 175 million from American investors, without adequate disclosure of material information relating to the alleged bribery scheme.
The Adani Group consistently denied the allegations and maintained that the charges were legally unsustainable. The defence argued that the proceedings lacked a sufficient jurisdictional nexus with the United States and that the allegations did not disclose any offence involving bribery under US law. The defence further contended that sophisticated institutional investors participating in the relevant transactions had not suffered any financial losses.
In the communication addressed to the federal court, Adani’s lawyers emphasised that the indictment did not contain allegations of violations of US anti-bribery statutes against the Adani defendants. They further pointed out that neither the criminal indictment nor the SEC complaint alleged investor losses arising from the transactions under scrutiny.
The defence also highlighted that the 2021 and 2024 bond issuances were structured under Regulation S and Rule 144A of the Securities Act of 1933 and were offered primarily to Qualified Institutional Buyers, a category comprising large institutional investors possessing substantial investment experience and portfolios exceeding USD 100 million in securities holdings.
According to the defence, the 2021 bond issuance has already matured, and all interest obligations have been discharged. The 2024 bond issuance remains current without any payment default. The 2021 syndicated loan facility has been repaid in full, while the 2023 loan facility remains in good standing.
The request for dismissal follows the DOJ’s decision in May 2026 to withdraw all criminal charges against Gautam Adani, Sagar Adani and other accused persons. The department subsequently moved for dismissal of the indictment with prejudice, effectively signalling its intention to permanently close the criminal prosecution.
The defence informed the court that the DOJ’s decision came after extensive discussions between prosecutors and defence counsel. Adani’s legal team has argued that, in light of the government’s position, continuation of the proceedings would serve no legal purpose and that formal dismissal is necessary to bring the matter to a conclusion.
Parallel civil proceedings have also moved towards resolution. Earlier this year, Gautam and Sagar Adani agreed to pay a combined settlement amount of USD 18 million to resolve the SEC’s civil fraud claims without admitting or denying the allegations. The proposed settlement includes injunctive provisions restraining future violations of US securities laws relating to investor deception, securities fraud and market manipulation.
Separately, Adani Enterprises reportedly agreed to pay USD 275 million to US authorities in connection with an investigation concerning alleged sanctions-related violations involving Iran.
The matter now awaits a final determination by Judge Garaufis. The federal court’s approval is required before the criminal case can be formally dismissed and the proposed settlements in the SEC proceedings can take effect. Until such approval is granted, the criminal and civil matters technically remain pending before the Eastern District of New York.
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