US judge dismisses criminal fraud and bribery case against Indian billionaire Gautam Adani

Case dismissed

On August 10, 2026, Brooklyn-based US District Judge Nicholas Garaufis formally dismissed criminal charges against Indian billionaire Gautam Adani, ending nearly two years of proceedings in a fraud and bribery case. The dismissal followed the Justice Department's May 18 announcement that it would no longer pursue the prosecution. Adani was charged in 2024 with agreeing to pay $250 million in bribes to Indian government officials so a subsidiary of his Adani Group could win approval to develop a solar energy plant, and then misleading US investors about his company's anti-corruption practices. Adani Group has consistently denied wrongdoing, and Adani himself never appeared in US court to respond to the charges.

Judge scrutinises dismissal process

Before granting the dismissal, Garaufis inquired into the Justice Department's reasons, writing that its initial announcement was "bland and conclusory." In a July 4 court filing, Trent McCotter, a senior Justice Department official designated as Principal Associate Deputy Attorney General, said the case was primarily foreign, hard to prove, and inconsistent with the agency's current priorities. Garaufis also examined whether Adani's November 2024 promise to invest $10 billion in the US had been offered in exchange for dropping the case. In a sworn declaration filed on July 15, Adani said he was not aware of any such agreement, though he acknowledged that his lawyers had told the Justice Department the pledge "might be part of a resolution of these matters."

Judge's criticism of Justice Department conduct

Garaufis said he was satisfied the investment pledge did not factor into the department's decision, but he criticised the process by which it was reached. He called McCotter's conduct "highly unusual."

The fact that McCotter came to this decision largely in collaboration with defense counsel, and seemingly without input from the FBI and SEC agents who investigated the alleged misconduct, or prosecutors who brought the case, appears to be highly unusual.

Garaufis also wrote that "the irregularities in the decision to dismiss the indictment are concerning" and that McCotter "appears to have eschewed the professional opinions of innumerable officials from various federal offices and replaced them with his singular judgment." The judge refused to dismiss two charges against five co-defendants, according to US media reports.

Adani's response and market reaction

Adani welcomed the ruling in a statement on X.

I receive the U.S. court's decision with humility and deep respect for the judicial process. Throughout this challenging period, our faith in truth, fairness and the rule of law remained unwavering.

Several Adani Group companies rose as much as 3% on the Indian stock market after the decision, before moderating some gains. Bloomberg estimates Adani's net worth at $112 billion, placing him 18th on its list of the world's richest people. The November 2024 indictment followed a stock crash triggered by accusations from short-seller Hindenburg Research, which caused ten Adani-listed companies to lose approximately $33 billion in market capitalisation.

Broader pattern of dropped prosecutions

The case is the latest in a series of high-profile white-collar criminal prosecutions dropped during President Donald Trump's second term. According to the New York Times, Adani hired a new defense team led by Robert Giuffra, one of Trump's own lawyers. At an April meeting at the Justice Department, Giuffra reportedly said Adani would be prepared to invest $10 billion and create 15,000 jobs in the US if the case were dropped. McCotter denied media reports that the investment pledge influenced the decision, calling them false. Adani is described in multiple sources as a close associate of Indian Prime Minister Narendra Modi, and his conglomerate spans ports, airports, energy, mining, and infrastructure.