Now Reading: US judge drops Adani fraud case, Bernstein says overhang eases
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US judge drops Adani fraud case, Bernstein says overhang eases
A US judge has approved the dismissal of fraud and bribery charges against Gautam Adani after the Department of Justice said it would not pursue the case, calling it hard to prove…
The Story in Brief
A US judge has approved the dismissal of fraud and bribery charges against Gautam Adani after the Department of Justice said it would not pursue the case, calling it hard to prove and inconsistent with current priorities. Judge Nicholas Garaufis had earlier questioned the DOJ's move but accepted it after Adani's lawyer said no deal linked to US investments was involved.
Separately, brokerage Bernstein said the Adani Group's legal overhang from both the 2023 Hindenburg report and US regulatory actions now appears behind it, potentially reviving foreign funding. Bernstein noted Adani stocks remain under-owned despite strong execution and 22% EBITDA growth between FY23 and FY26, with dollar funding access likely to improve after the US developments.
The Indian Opinion
The usual narrative that foreign investigations spell doom for Indian business groups has taken another hit. While many cheered the US case as a governance win, the Justice Department itself called it weak and foreign-focused. The real test now is whether domestic institutions will apply the same scrutiny they demand of foreign prosecutors, or if selective outrage will continue. Will Indian regulators now publicly state their findings on the same allegations?
Sources (2): millenniumpost.in, livemint.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
