Gautam Adani welcomes US court decision to dismiss charges against him

Public TV English
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NEW DELHI: Adani Group chairman Gautam Adani on Tuesday welcomed a US court’s decision to dismiss criminal charges against him, saying he had “deep respect for the judicial process.”

In a post on X, Adani wrote, “I welcome the US court’s decision with humility and deep respect for the judicial process. Throughout this challenging period, our faith in truth, fairness and the rule of law remained unwavering. My deepest gratitude to those who never lost faith in us, in the system and in India’s capacity for justice. We will continue doing what matters: building for our nation, creating value that outlasts us and serving a purpose larger than ourselves. That is our commitment. Jai Hind”.

According to Reuters, on Monday US District Judge Nicholas Garaufis of the US District Court for the Eastern District of New York, dismissed criminal charges against Gautam and Sagar Adani. The judge’s decision to grant federal prosecutors’ the right to withdraw the charges came after he inquired into their reasons for doing so.

While dismissing the charges against Adani, the Judge said he was satisfied that the reported investment pledge by the Adani Group did not influence the Justice Department’s decision. He also noted that judges have a limited role in reviewing federal prosecutors’ decisions to seek dismissal of charges.

The case against Gautam Adani and others had alleged a bribery scheme linked to solar power contracts in India which further allegedly misled US investors. In May this year the US DoJ had moved to dismiss these charges following which the US Court of the Eastern District of New York has sought a reply from the DoJ. With that reply cementing the US DoJ’s position, legal experts argue that the Judge in all likelihood would back the DoJ stand.

The legal case in the United States against Gautam Adani and Sagar Adani came to a complete closure after US District Judge Nicholas Garaufis of the US District Court for the Eastern District of New York dismissed the criminal charges against them.

Senior Advocate Vikas Pahwa, explained that the Adani Group’s legal proceedings stood closed in the US, noting that the Department of Justice (DoJ) itself clarified that the alleged transactions never occurred within US jurisdiction.

“Look, for Adani group, it is very significant that an indictment happened in the United States, and it happened last year. It received a lot of negative publicity. However, the Department of Justice says that the bribery transaction never actually occurred in the US–it happened in India. The jurisdiction was never with the United States to begin with,” Pahwa stated.

“And as for the application filed later by the Department of Justice in 2024, Adani Group got a great relief already. The Department of Justice had four or five very important grounds. The first ground was that these charges should never have been filed in the first place. Then, regarding the timing, the Department of Justice also stated that the timing was not right; perhaps the government was changing at that time, and that’s when these charges were framed and the indictment took place. There are many such points here. I believe this is a very important and significant judgment for the Adani Group,” Pahwa said.

Confirming the status of the case, Pahwa emphasized that the judicial dismissal established a definitive conclusion to the matter.

“As far as I’m concerned, [this case against Adani] is completely closed in the US. Once a withdrawal or dismissal of an indictment occurs and receives the seal of approval from the court, it speaks for itself. But once an indictment is closed by a judge’s order, its revival is difficult. It is written in their rules as well as their laws,” Pahwa said.

He further elaborated on the legal procedure and judicial scrutiny involved in accepting the prosecution’s request to drop the charges.

“The Judiciary’s role is not limited; it is extremely important. Just like in our country, the withdrawal of prosecution happens under Section 321 of the CrPC, when a prosecutor decides to withdraw prosecution and drop charges, the court still has an active role. Judicial scrutiny takes place to determine whether the decision is justifiable,” Pahwa noted.

“In this instance, the US Federal Court played a vital role. Hence, the court asked the Department of Justice to submit an affidavit. It sought responses to specific queries and required a formal reply. It asked the court to further elaborate on the grounds. Only after verifying that the withdrawal was fully justifiable did the court accept it. Therefore, the judiciary played a crucial role in this outcome,” he added.

Earlier on July 4, the US Department of Justice (DOJ) has told the judge that the criminal case against Adani Group chairman Gautam Adani and other defendants “should never have been brought,” urging the court to permanently dismiss all charges while arguing that the prosecution was legally weak, largely centred on India, and no longer served the interests of justice.

In a detailed filing submitted to the US District Court for the Eastern District of New York, the DOJ defended its earlier request to dismiss the case with prejudice after the court sought a fuller explanation for the move. The department said that after an extensive review, “the decision to seek dismissal was not a close call.”

The DOJ said the case was overwhelmingly connected to India, noting that the allegations involved “several Indians… allegedly tried to bribe other Indians… to get Indian contracts to provide Indian electricity to Indians in India.”

It added that “the United States pretending to be the world police can cause diplomatic strife and also wastes resources better spent on domestic concerns. India can better manage its internal systems than can prosecutors in Brooklyn and Washington.”

Separately, the DOJ said the securities fraud charges against Gautam Adani and Sagar Adani lacked a sound legal foundation, stating, “The securities charges should never have been brought.” It argued that the alleged conduct occurred almost entirely in India and that the case faced significant jurisdictional hurdles under US securities laws.

The filing also rejected media reports suggesting the dismissal was linked to proposed investments by the Adani Group in the United States. “I would have sought dismissal of the securities charges regardless of any mentions of investments,” Principal Associate Deputy Attorney General R Trent McCotter wrote, adding that “the mention of potential investments could not have played any role”. (ANI)

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