NEW YORK, August 10 (Reuters) – A U.S. judge on Monday dismissed criminal charges against Indian billionaire Gautam Adani, following a decision by the Justice Department to abandon the fraud and bribery case.
U.S. District Judge Nicholas Garaufis, based in Brooklyn, granted federal prosecutors’ unusual request to drop the case after inquiring into their reasoning. He specifically asked Adani whether any promises were made in exchange for the dismissal of the charges. In November 2024, prior to the unsealing of the charges, Adani had committed to investing $10 billion in the United States.
Adani was indicted in 2024 on charges of agreeing to bribe Indian government officials. The alleged bribes were intended to secure approval for a subsidiary of his Adani Group to develop a solar energy plant. He was further accused of misleading U.S. investors by providing false assurances about his company’s anti-corruption practices. The Adani Group has consistently maintained its innocence, and Adani himself has not appeared in a U.S. court to answer the charges.
On May 18, the Justice Department announced its intent to discontinue the case. This marked another instance during Republican President Donald Trump’s second term in office where federal prosecutors sought to drop a high-profile white-collar criminal prosecution.
Legal experts generally acknowledge that U.S. judges have limited power to compel prosecutors to continue with criminal cases they no longer wish to pursue. However, a judge’s approval is necessary for formal dismissal of charges.
Judge Garaufis had previously demanded that the Justice Department justify its decision to drop the charges, stating that its “bland and conclusory” announcement did not provide sufficient information.
In a court filing dated July 4, Trent McCotter, a senior Justice Department official, explained that the case was predominantly foreign in nature, difficult to prove, and inconsistent with the agency’s current priorities. In the same filing, McCotter refuted media reports suggesting that he sought to dismiss the case partly due to Adani’s promise to invest money in the United States, calling such suggestions false.
In response, Garaufis directly asked Adani if he was “aware of any agreement exchanging anything for the dismissal of the indictment.” In a sworn declaration filed on July 15, Adani affirmed that he was not aware of any such agreement. He did, however, acknowledge his prior pledge to invest $10 billion in the U.S. and stated that his lawyers had informed the Justice Department in meetings that this pledge “might be part of a resolution of these matters.”
Robert Giuffra, Adani’s lawyer, stated in a July 15 court filing that the Justice Department had communicated to him that it would not consider the Adani Group’s willingness to invest in the U.S. as part of any resolution.
