US Justice Department drops Adani bribery case after intensive legal push

It took 10 weeks, roughly 600 pages of legal filings, and a team of outside experts, including a Harvard law professor and a former Chief Justice of India’s Supreme Court, but the US Justice Department ultimately dismissed one of the year’s most high-profile corporate prosecutions involving Gautam Adani, according to a report by PTI. Newly unsealed court documents reveal a meticulously planned and executed legal counteroffensive that challenged both bribery and securities fraud allegations.

The case and allegations

The investigation began on November 20, 2024, when US prosecutors indicted Gautam Adani, his nephew and Adani Green executive Sagar Adani, former CEO Vneet Jaain, and others. They were accused of paying over $250 million in bribes to Indian officials to secure solar contracts projected to generate $2 billion in after-tax profits over 20 years. Prosecutors also alleged investor misrepresentation, claiming the group raised over $3 billion via bonds and loans. The Adani Group called the allegations baseless. The case remained largely inactive until May 18, 2026, when the DOJ moved to dismiss it.

The defence strategy

Sullivan & Cromwell, representing Adani since August 2025, launched a structured legal campaign from February to April 2026. Lead lawyer Robert J. Giuffra Jr. detailed submissions that included a 118-page letter, multiple supplemental briefs, and slide decks totalling over 300 pages. “Our team spent many thousands of hours analysing documents and information related to this case,” Giuffra wrote, highlighting flaws such as extraterritorial application of US securities law, dubious bribery claims, and questionable legal interpretation of statements.

Outside experts bolster defence

The team also engaged outside specialists, including a former SEC acting chair, an ex-Chief Justice of India, and renewable energy experts, whose reports added close to 200 pages of analysis. Their findings examined the materiality of Adani Green’s disclosures, India’s anti-corruption measures, and technical aspects of renewable energy bidding.

Why the DOJ relented

When pressed by Judge Nicolas Garaufis for justification, DOJ officials cited jurisdictional challenges, lack of investor losses, prior Indian investigations, and low trial prospects. Notably, a $10 billion US investment proposal from Adani was explicitly rejected as a condition to resolve the case.

Civil settlements

Alongside criminal proceedings, the SEC approved consent judgments, with Gautam Adani paying $6 million and Sagar Adani $12 million, neither admitting nor denying wrongdoing. Separate Treasury inquiries were resolved independently.

Decision-making authority

Court filings clarify that R. Trent McCotter, Principal Associate Deputy Attorney General, held authority over the dismissal. Giuffra’s filing also argued judicial review of dismissal is limited to cases clearly contrary to public interest or causing harm, which did not apply here.

(With inputs from PTI)