Scandals
Adani in the Courts and Under Investigation
Feb 04, 2020
Scandals

The media reports below describe some of the court cases and other controversies involving the Adani Group. Sometimes it seems as if there's a new one every week. The subject matter is broad: the Queensland Carmichael mine, Indian coal contracts, manipulation of prices, profiteering, and failing to meet emission standards. Cases in India are being increasingly covered by international media as the relationship between the Modi government and the Adani Group comes under more and more scrutiny.

 

The Central Investigation Bureau books Adani Group companies, several other coal companies and various officials for corrupt dealings in the supply of coal

Following the levelling of corruption charges, experts have raised questions on how the Adani Group is able to grab new power projects despite several allegations of coal-related corruption.

https://www.newsclick.in/CBI-books-adani-power-other-power-generating-companies-coal-supply-scandal-case

 

Adani is to plead guilty to giving 'false or misleading documents to an administering authority' and may be fined up to $3 million.

According to the ABC, mining giant Adani is set to receive the first criminal conviction in its corporate history over documents it gave to Queensland's environmental regulator about land clearing on its mine site. For more information see:

https://www.abc.net.au/news/2020-02-06/adani-to-plead-guilty-court-qld/11932640

 

Central Bureau of Investigation Files Criminal Case Against Adani

In January 2020, India’s Central Bureau of Investigation (CBI) filed a criminal case against Adani Enterprises Ltd for colluding with officials of the National Cooperative Consumers’ Federation (NCCF) to unfairly win a contract for supplying coal to an Andhra Pradesh government-owned company. For more information see:

https://www.livemint.com/companies/news/adani-enterprises-in-the-dock-as-cbi-charges-group-with-criminal-misconduct-11579175347565.html

 

Probe establishes prima facie case against Adani Enterprises Ltd

January 2020: In a setback to the Adani Group, a Mumbai sessions court overturned a 2014 order of a lower court which had discharged Adani Enterprises Ltd (AEL), its chairman Gautam Adani and managing director Rajesh Adani for alleged cheating and manipulation of share prices of AEL through entities controlled by Ketan Parekh, the stockbroker and main accused in India’s biggest stock market scandal dating back to 1999-2000. For more information see:

https://indianexpress.com/article/business/companies/court-overturns-clean-chit-to-adanis-in-share-rigging-case-6209072/

 

Illegal Profiteering Charge on Adani Real Estate Joint Venture

In December 2019, India's National Anti-profiteering Authority alleged that a joint venture by Adani Realty and the M2K Group earned illegal profits by not passing on tax benefits to over 400 apartment-owners in Gurugram in Haryana. For more information see:

https://www.newsclick.in/Adani-Real-Estate-M2K-Group-Illegal-Profiteering-National-Anti-Profiteering-Authority

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Photo Essay: COVID masks used in fightback against Adani
Coastal ecosystems and livelihoods devastated by Adani’s massive Mundra port complex and power station
Tribal W&J protest against Adani to continue despite police action
Traditional Owners stand ground to enforce eviction of Adani

Adani seeks to extend ability to pollute

In January 2020, it was reported that top Indian coal-fired power generators Adani Power and NTPC Ltd had sought two-to-three-year extensions of deadlines to install emissions-cutting equipment at some plants, according to documents reviewed by Reuters, even as the country battles rampant pollution. Highlighted in correspondences over the past year reviewed by Reuters, the requests hadn’t previously been made public. They could set battle lines between the power industry and the environment ministry ahead of a key Supreme Court case on power plant emissions due in February 2020. For more information, see:

https://www.reuters.com/article/us-india-adani-power-emissions/indias-adani-ntpc-sought-extension-of-deadlines-to-curb-coal-plant-emissions-documents-idUSKBN1Z60W1

 

Government accused of breaking procurement rules to favour Adani

In January 2020, India’s Modi Government was again accused of crony capitalism in its dealings with Adani. The Opposition alleged that Modi overruled a Navy committee and broke procurement rules to favour an Adani company’s bid in a $6-billion submarine project. For more information see:

https://www.thehindu.com/news/national/congress-accuses-modi-government-of-favouring-adani-group-in-45000-crore-submarine-project/article30573122.ece

 

In December 2019, Kerala Government threatened to seek damages from Adani over port deadline blowout

In December 2019 it was reported that the provincial government of Kerala was seeking damages over Adani’s failure to meet its deadline for completion of a new International Multi-Purpose Deepwater port on west coast of India. For more information see:

https://www.thehindu.com/todays-paper/tp-national/tp-kerala/govt-will-seek-damages-from-adani-chief-minister/article30235149.ece

 

Is Adani Power’s Mundra Plant Entitled to Hike Tariffs?

Appeals before electricity regulatory authorities against a hike in tariffs by Adani Power’s plant in Mundra, Gujarat, that had been granted in December 2018, have reopened an issue that was presumed to have been settled by the Supreme Court. For more information see:

https://www.newsclick.in/Adani-Power-Mundra-Plant-Entitled-Hike-Tariffs