TotalEnergies Hits Pause Button On New Investments In Adani Group
The development comes after US bribery and fraud charges against Adani Group founder Gautam Adani and several other executives
(The Corner Office Journal) -- TotalEnergies has hit the pause button on new investments in the Adani Group companies following US bribery and fraud charges against the Indian conglomerate’s founder Gautam Adani and several other executives.
“Until such time when the accusations against the Adani Group individuals and their consequences have been clarified, TotalEnergies will not make any new financial contribution as part of its investments in the Adani Group of companies,” the global energy major said in a statement.
The development came after the US Attorney’s Office charged Gautam Adani and seven other senior business executives in connection with scheme to pay hundreds of millions of dollars in bribes and conceal bribery scheme from US investors.
Other indicted executives are Sagar Adani and Vneet Jaain, executives of Adani Green Energy Ltd., as well as Ranjit Gupta, Rupesh Agarwal, Cyril Cabanes, Saurabh Agarwal, and Deepak Malhotra.
The indictment alleges schemes to pay over $250 million in bribes to Indian government officials, to lie to investors and banks to raise billions of dollars, and to obstruct justice.
Adani Group, which has denied the allegations, is seeking legal recourse.
TotalEnergies’ Investments
In January 2021, TotalEnergies acquired a minority stake in Adani Green Energy, of which it now owns 19.75%.
The company also acquired a 50% stake in three joint ventures operating renewable energy assets -- AGEL23 in 2020, AREL9 in 2023 and AREL64 in 2024 -- to enhance its development in renewable energy in India through direct access to a portfolio of assets.
TotalEnergies said its investments in Adani Group entities were undertaken in full compliance with applicable laws, and with its own internal governance processes pursuant to due diligence and representations made by the sellers.
In particular, TotalEnergies was not made aware of the existence of an investigation into the alleged corruption scheme, it noted.
TotalEnergies, which is not targeted nor involved in the facts described by US indictment, said it will take all relevant actions to protect its interests as minority shareholder of Adani Green Energy and as a joint-venture partner in project companies.
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