The US has launched two simultaneous investigations against Indian billionaire Gautam Adani, accusing him of involvement in a massive bribery scandal. The allegations have sparked global interest, plummeting Adani’s stock values and implicating him in both criminal and civil legal proceedings.
The Federal Bureau of Investigation (FBI) and the Department of Justice (DoJ) have unveiled a five-count federal indictment against Adani and his associates. The criminal case is being spearheaded by the US Attorney’s Office for the Eastern District of New York, along with the DoJ’s Criminal Division.
James E. Dennehy, assistant director of the FBI’s New York Field Office, announced the charges on November 21, citing his extensive career in counterintelligence and fraud investigations. The FBI’s Securities and Commodities Fraud and International Corruption Units are leading the investigation.
Breon Peace, US Attorney for the Eastern District of New York, emphasized the importance of maintaining integrity in financial markets. “My Office is committed to rooting out corruption in the international marketplace and protecting investors from those who seek to enrich themselves at the expense of the integrity of our financial markets,” Peace stated.
The prosecution team includes Assistant US Attorneys Sarah M. Evans, Matthew R. Galeotti, and Jessica K. Weigel, all of whom specialize in securities fraud and foreign corruption cases. Lisa H. Miller, Deputy Assistant Attorney General for the DoJ’s Criminal Division, oversees the Fraud Section. Her team includes Shy Jackson, an expert in the Foreign Corrupt Practices Act (FCPA), and Andrew Tyler, specializing in market integrity and major frauds.
The Securities and Exchange Commission (SEC) has filed a separate civil complaint against Adani, seeking permanent injunctions, penalties, and bans on leadership roles. This investigation is led by the SEC’s Enforcement Division, under the direction of Sanjay Wadhwa, an Indian-American who recently assumed the acting director role.
Wadhwa has an impressive career with the SEC, spanning over two decades. He previously served as deputy chief of the Market Abuse Unit and co-head of enforcement in the New York office. In his statement, Wadhwa affirmed the SEC’s commitment to accountability: “We will continue to vigorously pursue and hold individuals, including senior corporate officers and directors, accountable when they violate our securities laws.”
The litigation team includes paralegal specialists Liam McNett, focusing on white-collar crimes, and Nadiya Singh, who handles foreign corruption cases.
Key Figures in the Investigations
- James E. Dennehy: Former US Marine with over two decades in the FBI, now leads New York’s Securities and Commodities Fraud Unit.
- Breon Peace: A seasoned lawyer and NYU professor, committed to combating corruption.
- Lisa H. Miller: Oversees major fraud prosecutions in her role at the DoJ.
- Sanjay Wadhwa: Indian-American lawyer with extensive SEC experience, leading the civil investigation.
The twin investigations into Gautam Adani highlight a robust US approach to addressing financial corruption and ensuring market integrity. With both criminal and civil cases underway, the outcomes could significantly impact Adani’s global business empire.
The combined efforts of the FBI, DoJ, and SEC demonstrate their commitment to enforcing transparency and accountability in the international marketplace.
