Adani group shares tank amidst bribery allegations
Shares of Gautam Adani’s group of companies witnessed a sharp decline of more than 20 per cent during Thursday’s trading session. Many of them touched the lower circuit limit. Amid this heavy sell-off, investors of 10 listed Adani Group companies lost more than Rs 2.60 lakh crore.
Adani shares fell sharply after billionaire businessman Gautam Adani was charged in connection with a $250 million bribery scheme allegedly hidden from US investors.
The total market capitalisation of all 10 listed companies of the Adani Group fell to Rs 11.91 lakh crore on Thursday from Rs 11.63 lakh crore on Tuesday. This shows a loss of about Rs 2.60 lakh crore in the early hours of trading itself.
Why are Adani shares falling today?
US prosecutors have accused Gautam Adani, his nephew Sagar and others of paying more than USD 250 million in bribes to Indian government officials between 2020 and 2024 to win solar energy contracts that could potentially yield profits of more than USD 2 billion. They allege this was concealed from US banks and investors from whom the Adani Group raised billions of dollars for the project.
US law allows foreign corruption charges to be pursued if they involve certain ties to US investors or markets.
