An Indian journalist who has been sued by Adani explores the recent pains of the Adani Group with two experts on India's political economy, finance and ‘black money’.
Early in February 2023, after publication of the now famous Hindenburg Report, the Adani Group lost over US $100 billion from the value of company shares.
The Hindenburg Report alleged ‘accounting fraud and stock-market manipulation’ by the Group and its shadowy network of offshore investors. Subsequently, mainstream international finance media have run regular stories on alleged ‘roundtripping’ of investor funds, the movement of billions of dollars between shell companies, and the role of Gautam Adani’s elder brother, Vinod, in all of this.
The shock waves from Adani’s crash continue. Commentators are asking why Indian market regulators failed to address serious questions about some of the Group’s business practices. What actions, if any, will these regulators eventually take? What will be the long-term implications for many of the Adani Group’s more ambitious projects, given its reduced finances? And how did the Adani Group acquire such a massive fortune and such a huge share of infrastructure projects in the first place?
Here to explore some of these issues with veteran journalist, Paranjoy Guha Thakurta, are two experts on India’s political economy. Professor Arun Kumar is a retired professor of economics at Jawaharlal Nehru University and an expert on illegal transactions and ‘black money’. A K Bhattacharya is a veteran journalist and editorial director of the ‘Business Standard’.