Allegations by the SEC

The U.S. Securities and Exchange Commission (SEC) has filed serious charges against Gautam Adani, Sagar Adani, and other senior executives of the Adani Group. These allegations suggest involvement in a bribery scheme that enabled Adani Green Energy and Azure Power to secure a multi-billion-dollar solar energy project awarded by the Indian government.

Details of the Alleged Scheme

The alleged scheme, spanning from 2020 to 2024, reportedly included bribes exceeding $250 million to Indian government officials. These bribes were allegedly intended to secure lucrative solar energy contracts, projected to generate over $2 billion in post-tax profits over 20 years. Prosecutors claim this scheme was deliberately concealed from U.S. investors, undermining confidence in the group’s compliance practices.

Impact on Adani Group Stocks

The allegations have led to a sharp decline in Adani Group stocks, compounded by a broader market downturn. Here’s how the major stocks have performed over the past month:

• Adani Green Energy: down 18.65%
• Adani Energy Solutions: down 16.53%
• Adani Power: down 14.29%
• Adani Ports: down 8.28%
• Adani Enterprises: down 6%
• Adani Total Gas: down 8.36%

Conclusion

The SEC charges against the Adani Group are likely to have long-term implications for its reputation and market performance. As the situation develops, investors must stay informed about these developments and their potential impact on the group’s financial outlook.

MBC Trading Platform advises investors to remain vigilant and make well-informed decisions based on reliable insights.