Indian billionaire Gautam Adani and his nephew, Sagar Adani, have agreed to a combined payment of $18 million to resolve a civil fraud lawsuit brought by the US Securities and Exchange Commission (SEC). The regulatory body had accused the Adanis of engaging in bribery with Indian officials to secure high-profile renewable energy projects and of misleading US investors regarding their anti-bribery practices during a bond offering.

This proposed settlement, which is currently awaiting court approval, has been met with a positive response in the markets, evidenced by a rise in Adani Group firm shares. The Adani Group, a major Indian business conglomerate, holds extensive interests across various sectors, including energy and airports. The agreement stipulates that the Adanis do not admit or deny the allegations but are prohibited from future violations of critical US anti-fraud laws pertaining to investor deception, securities fraud, and market manipulation. The SEC’s lawsuit specifically alleged that Adani Green Energy misled investors while raising $750 million, including approximately $175 million from US investors, concerning its compliance with anti-bribery regulations—allegations the Adani Group has consistently labeled as “baseless.”

In a separate yet significant development, the US Department of Justice (DOJ) is reportedly moving to drop criminal fraud charges against Gautam Adani. This reported reversal by the justice department follows Adani’s engagement of a new legal team, spearheaded by Robert J. Giuffra Jr., a prominent figure in the US legal landscape and a personal legal adviser to President Donald Trump.

Giuffra reportedly met with justice department officials to present concerns regarding the case. It was also noted that Adani had pledged to invest $10 billion in the US and create 15,000 jobs should the prosecutors withdraw the charges, a commitment Adani reportedly made to Trump shortly after his 2024 presidential election victory. The dismissal is understood to reflect a broader shift in policy concerning the prosecution of foreign bribery cases under the current administration.