The US Department of Justice has dropped all criminal charges against billionaire industrialist Gautam Adani and his nephew Sagar Adani in an alleged securities and wire fraud case, marking a major legal relief for the Adani Group, reported IANS.
According to court filings submitted before the Eastern District of New York, the Department of Justice requested that the indictment against Adani and other accused individuals be dismissed permanently. The court subsequently ordered that the charges be “dismissed with prejudice”, effectively preventing the case from being reopened on the same grounds.
US prosecutors cite prosecutorial discretion
In its submission to the court, the Justice Department stated that it had reviewed the matter and decided against pursuing further action.
“The Department of Justice has reviewed this case and has decided, in its prosecutorial discretion, not to devote further resources to these criminal charges against individual defendants,” the filing stated, reported IANS.
The development comes months after US prosecutors had accused Adani and others of involvement in an alleged bribery and fraud scheme linked to renewable energy contracts in India. The Adani Group had consistently denied all allegations and maintained that the accusations lacked merit.
Defence team questioned jurisdiction and evidence
Lawyers representing Gautam Adani and Sagar Adani argued before the court that the prosecution had failed to present credible evidence supporting the alleged bribery scheme, reported IANS.
The defence team also challenged the jurisdiction of the US Securities and Exchange Commission (SEC), claiming that the alleged statements cited in the case were not legally actionable. According to reports, Adani’s legal representatives maintained that there was no evidence of investor harm or direct misconduct under US law, reported IANS.
The Adani Group had earlier clarified that none of its executives or entities had been charged under the US Foreign Corrupt Practices Act. It also stated that Adani Green Energy, which had raised the funds in question, was not directly a party to the criminal proceedings.
SEC and other investigations also resolved
The dismissal of the criminal case follows a recent settlement involving the US Securities and Exchange Commission. Last week, the SEC resolved related civil allegations against Gautam Adani and Sagar Adani without any admission of wrongdoing, according to reports, reported IANS.
With the latest court order, several major US legal and regulatory proceedings involving the Adani Group have now either been closed or settled.
However, another development involving the conglomerate emerged earlier this week when the US Treasury Department’s Office of Foreign Assets Control (OFAC) announced a settlement with Adani Enterprises over alleged sanctions-related violations connected to liquified petroleum gas imports, reported IANS.
OFAC announces settlement over LPG imports
According to the OFAC statement, Adani Enterprises agreed to pay USD 275 million to settle potential civil liability related to “apparent violations” of US sanctions on Iran. The agency alleged that between November 2023 and June 2025, the company purchased LPG shipments through a Dubai-based trader that were allegedly linked to Iranian-origin supplies, reported IANS.
OFAC claimed that the transactions resulted in 32 US dollar-denominated payments worth approximately USD 192 million being processed through American financial institutions.
The Adani Group has not publicly admitted wrongdoing in relation to the settlement. Meanwhile, the closure of the criminal fraud case is expected to remove a major legal hurdle that had weighed on the conglomerate’s international business operations and fundraising plans.
(With inputs from IANS)