Modi allegedly unable to resist Trump's influence, according to Rahul Gandhi, due to ongoing Adani investigation
In the realm of global politics, a US investigation into alleged bribes paid by the Adani Group has raised eyebrows and caused ripples. The conglomerate, owned by Gautam Adani, has interests in various sectors, including power generation, coal mines, ports, and media.
During the 2014 election campaign, Adani offered Prime Minister Modi the use of a private company jet. Fast forward to early 2020, the Solar Energy Corporation of India awarded contracts for a 12-gigawatt solar energy project to Adani Green Energy and Azure Power Global. At that point, Adani Green Energy had only earned roughly $50 million and had yet to turn a profit.
The US Securities and Exchange Commission (SEC) indicted Gautam Adani and his nephew in November 2024, alleging they paid bribes to Indian officials to secure lucrative solar energy contracts worth billions and misled US investors during a $750 million bond offering. These allegations have triggered scrutiny from US regulators and complicated relations with the US.
Opposition leader Rahul Gandhi has linked US tariff threats, imposed by former US President Donald Trump citing India's oil imports from Russia, to the political leverage the US holds over Modi due to the Adani probe. Gandhi argues Modi’s "hands are tied" because the US could use information from the Adani investigation to exert pressure.
The controversy comes amid a broader geopolitical context where India’s purchase of Russian oil remains a significant point of contention with the US, which risks escalating tariffs on Indian goods. This makes Modi’s international negotiations more delicate.
While Modi and his government have not officially responded to claims that the Adani investigation hampers their foreign policy, critics spotlight the probe's potential to undermine India’s bargaining power.
The Adani Group has consistently denied any wrongdoing in regard to the bribery allegations and the use of tax havens. The alleged bribes caught the attention of the US Justice Department and Securities and Exchange Commission during fundraising from US-based investors starting in 2021.
The indictment also charges Adani and seven other officials with lying about the bribery to raise capital from international investors, including those in the US. Allegations of bribes to local officials were made to save the deal, according to US authorities. Sagar Adani, Adani Green Energy's nephew, and the Azure CEO discussed bribes on the encrypted messaging application WhatsApp.
The Adani Group, along with its 13 offshore investors, is also under investigation by the Securities and Exchange Board of India (SEBI). Ranjit Gupta, the Azure CEO at the time, was charged by the Justice Department with conspiracy to violate an anti-bribery law.
In response to the US allegations of bribery, Adani denied any wrongdoing in June 2025. Adani Group executives also met Trump administration officials seeking dismissal of criminal charges in the bribery probe in early 2025.
The news of the Adani Group's alleged bribes has not only cast a shadow on the conglomerate but also appears to have political repercussions for Prime Minister Modi, restricting his diplomatic flexibility with the US and intersecting with broader trade disputes tied to India’s energy imports from Russia.
- The allegations against the Adani Group for paying bribes to secure lucrative solar energy contracts have led to scrutiny from US regulators and complicated relations with the US.
- The US Securities and Exchange Commission indicted Gautam Adani and his nephew for alleged bribes to Indian officials and misleading US investors during a $750 million bond offering in 2021.
- The controversy over the Adani Group's alleged bribes has political repercussions for Prime Minister Modi, as it may limit his diplomatic flexibility with the US and intersect with broader trade disputes tied to India’s energy imports from Russia.
- In 2024, opposition leader Rahul Gandhi linked US tariff threats, imposed by former US President Donald Trump, to the political leverage the US holds over Modi due to the Adani probe.
- Adani Green Energy, a part of the Adani Group, had only earned roughly $50 million and had yet to turn a profit when it was awarded contracts for a 12-gigawatt solar energy project by the Solar Energy Corporation of India in early 2020.
- The Adani Group has been under investigation by the Securities and Exchange Board of India (SEBI) and the Justice Department, with Ranjit Gupta, the Azure CEO at the time, charged with conspiracy to violate an anti-bribery law.
- Allegations of bribes to local officials were made to save the deal, according to US authorities, and Sagar Adani, Adani Green Energy's nephew, and the Azure CEO discussed bribes on the encrypted messaging application WhatsApp.
