Azure Power Confirms Cooperation With US SEC Allegations In Adani Bribery Probe

In the wake of US attorneys charging billionaire Gautam Adani with participating in a scheme to bribe Indian officials USD 265 million (roughly Rs 2,200 crore) in return for favourable terms for solar power contracts, American authorities have identified former Azure Power officials in the matter in addition to Adani.

"We are aware of the actions announced by the US Department of Justice and U.S. Securities & Exchange Commission against certain former directors and officers of Azure, as well as certain third parties," the company said in a statement exclusively to CNBC-TV18.

"As we initially disclosed in January 2023 and in subsequent filings and annual reports, we have been cooperating with those agencies in relation to those and other matters and we will continue to do so," the company further reported to CNBC-TV18.

Along with Adani, former Azure Power personnel have been linked in the probe by US investigators. According to U.S. authorities, Gupta planned with Gautam Adani, Sagar Adani, and Vneet Jaain to bribe Indian government officials in order to get a solar energy project in India for Adani Green and Azure Power.

Adani, and seven other people, including his nephew Sagar, are accused of bribing unidentified state government officials in Andhra Pradesh and Odisha to purchase expensive solar power, with the potential to make over USD 2 billion in profit over a 20-year period.

Azure Power, situated in New Delhi, which secured comparable bidding for a 4 GW supply, is also included in the allegation.

Further allegations of "violating the anti-fraud provisions of the federal securities laws" have been brought against Gautam and Sagar Adani as well as an Azure Power official by the US Securities and Exchange Commission (SEC), as per PTI.

"In light of these developments, our subsidiaries have presently decided not to proceed with the proposed USD denominated bond offerings," Adani Green Energy said in a stock exchange filing.

According to its CMD R P Gupta, SECI, India's primary regulator for the execution of renewable projects, has not been involved in any form of misconduct in the Adani case. This was said on Thursday amid the latest development in the Adani saga.

The spokesperson for the group stated in a statement that the accusations against Adani Green's directors made by the US Department of Justice and the US Securities and Exchange Commission are baseless and false.