US SEC summons Gautam Adani
Highlights
– The US Securities and Exchange Commission (US SEC) has summoned Gautam Adani in a bribery and fraud case.
– The central government transferred the summons to the Ahmedabad Sessions Court on February 25 so that it could be delivered to Gautam Adani’s Shantivan Farm House.
Hague Treaty
– The summons has been sent under the Hague Treaty of 1965, which allows countries to cooperate in the exchange of legal documents.
– Earlier, on November 23, the US SEC had summoned Adani to clarify his stand on the allegations.
Fraud charges in the US
– Last year, Adani and 8 others were accused of fraud worth billions of rupees.
– According to the charge sheet of the Attorney’s Office, Adani’s company had wrongly acquired renewable energy projects in India.
– It is alleged that Adani bribed government officials with $250 million (about Rs 2,029 crore).
Legal process
– The accused collected money by lying to American investors and banks. The case was related to Adani Green Energy Limited and another firm.
– The case was registered in the Federal Court of New York on 24 October 2024.
History of the Hague Treaty
– India joined the Hague Treaty in 2006, which was signed between 84 countries in the Hague city of the Netherlands on 15 November 1965.
– In this, it was decided to deliver legal documents in business matters to the concerned person or institution.
Gautam Adani controversies
First controversy: Hindenburg Research
– In January 2023, Hindenburg Research accused the Adani Group of money laundering and share manipulation.
– The Adani Group announced a follow-on public offer of 20,000 crore, but had to cancel it due to the allegations.
– The Supreme Court formed a 6-member committee to investigate the matter.
Second controversy: Coal sale
– The Financial Times alleged that the Adani Group sold low-grade coal as high-grade.
– The report said that the Adani Group bought coal at a price of $28 per tonne and sold it at an average price of $91.91 per tonne.
Conclusion
Gautam Adani has been in controversies for some time now. The severity of the charges against him and the legal proceedings could impact his future.
About Channel: Welcome to our stock market related channel where we share valuable insights and strategies for navigating the stock market. Whether you’re a seasoned investor or just starting to dip your toes into the world of stocks, our videos offer in-depth analysis, educational content and everything about stock market to help you make more informed investment decisions. Stay ahead of the game and enhance your financial knowledge with us. Watch ShareSingh’s video and start your journey towards financial success.
Disclaimer: This video is only for educational and knowledge purpose
Before taking any decision please once consult with your financial advisor or do your own research.
The channel would not be responsible for any financial gain as well as for losses.
*I am not SEBI registered*
Copyright Disclaimer Under Section 107 of the Copyright Act 1976, allowance is made for “fair use” for purposes such as criticism, comment, news reporting, teaching, scholarship, and research.
Fair use is a use permitted by copyright statute that might otherwise be infringing.
Non-profit, educational or personal use tips the balance in favor of fair use.
Thank u 🙂
source
