Wednesday, December 4, 2024

Adani’s Backers Muster a United Front to Counter US Charges

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(Bloomberg) — Almost a week after bombshell allegations by the US of Gautam Adani’s involvement in a bribery plot, an outpouring of public backing for the Indian billionaire slowly began to build.

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The groundswell began early Wednesday, when an Adani Group unit issued a filing asserting that initial reports on the indictment were inaccurate — the company’s main defense was that its executives were being charged only with fraud, not bribery.

Later that morning, two former public officials within a half hour of each other held separate press conferences. Though they said they were speaking for themselves, their main message was the same: No Adani officials had been charged with bribery.

“I do not find a single name, single detail in the charge sheet as to who has been bribed,” said Mukul Rohatgi, a lawyer and former attorney general who has done work for the conglomerate in the past. He later told Bloomberg News the company had asked him to share his views publicly but the views were his own.

On social media, meanwhile, the hashtag #AdaniNotGuilty went viral, as an outburst of support for the infrastructure conglomerate — widely seen as a national champion with close links to Indian Prime Minister Narendra Modi — emerged. Pro-government media personalities called it an attack by the US “deep state” on India, adopting language used by those who claim President-elect Donald Trump is a victim of US law enforcement overreach.

The sudden surge in public support for the tycoon and his empire suggests a broader effort by the Adani conglomerate and its backers to reclaim control of a narrative that, its defenders say, has tarnished not just the company and its founding family but India itself.

Adani Group has denied allegations of misconduct by its executives and said it would defend itself in court.

The stakes for the conglomerate are high. In the wake of the charges, a stock rout has wiped out billions of dollars from Adani Group companies, while foreign governments and partners are reassessing ties. Kenya has canceled $2.6 billion in deals, and TotalEnergies SE halted new investments in the conglomerate.

“Any company or any other organization that is involved in a joint venture with the Adanis right now, they’re starting to worry about their liability,” said Kush Amin, a legal specialist at Transparency International, an anti-corruption group.

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