Political wrangling in India as US accuses Gautam Adani of bribery

His listed firms lose a combined $34.8b in market value after charges are filed in NY

- Debarshi Dasgupta

Stunning bribery charges in the United States against Indian billionaire Gautam Adani, who is close to Prime Minister Narendra Modi, have ricocheted through India's political circles and wiped billions from his firms' market value.

On Nov 20, the US authorities announced that they had charged Asia's second-richest person and head of the Adani Group, an Indian conglomerate whose businesses extend from energy to airports, over an alleged multi-billion-dollar bribery and fraud scheme.

Adani, his nephew Sagar Adani and six others were accused of promising more than US$250 million (S$336 million) in bribes to government officials in India to secure lucrative solar energy contracts.

They had lied about the bribery scheme as they sought to raise US and international capital, said Mr Breon Peace, United States Attorney for New York's eastern district.

Adani, 62, is alleged to have personally met government officials in India on several occasions to advance the scheme.

Arrest warrants have been issued in the US for Adani and his nephew Sagar, and prosecutors plan to hand those warrants to foreign law enforcement, Reuters reported citing court records.

Describing the charges as "baseless", the Adani Group said in a statement: "All possible legal recourse will be sought."

The bribery allegations have come as a shot in the arm for Indian opposition parties, which have long had the Adani Group in their crosshairs, alleging that Adani is bankrolling the ruling Bharatiya Janata Party (BJP) and accusing Mr Modi of favouring and protecting him in return, charges that the BJP has denied.