Adani Group shares crashed, wiping out $13 billion in market value after the US SEC sought court approval to directly summon Gautam and Sagar Adani in a bribery probe.
New Delhi: Adani Group shares fell sharply on Friday, wiping out nearly ₹1.1 lakh crore (around $13 billion) in market value after the U.S. Securities and Exchange Commission (SEC) moved to directly question Gautam Adani and his nephew Sagar Adani in an ongoing fraud and bribery investigation.
The move renewed investor fears and triggered heavy selling across almost all Adani Group companies, adding pressure to an already weak market.
Heavy Fall in Adani Group Stocks
The sell-off began early on the Bombay Stock Exchange (BSE), with sharp declines across the group’s listed firms.
Major Stock Declines
| Company | Share Price Movement |
| Adani Green Energy | Fell 14% to ₹778 |
| Adani Energy Solutions | Fell 12% to ₹816 |
| Adani Enterprises | Fell 9% to ₹1,890 |
| Adani Ports | Fell 5% to ₹1,343 |
| Adani Power | Fell 6% |
| Adani Total Gas | Fell 6% |
| Ambuja Cements | Fell 5% |
| ACC | Fell 3% |
By mid-afternoon, all 10 listed Adani companies together had lost ₹1.1 lakh crore, bringing the group’s total market value down to ₹12.45 lakh crore.
At the same time, India’s benchmark Nifty 50 index declined 0.94%, partly due to negative sentiment linked to Adani stocks.
Why Did the Stocks Fall?
The market reaction followed a January 22, 2026 filing by the SEC in a U.S. court in New York.
What the SEC Is Seeking
- Permission to send legal summons directly to Gautam Adani and Sagar Adani
- Service through email and U.S.-based legal counsel instead of Indian authorities
- Legal firms involved include:
- Kirkland & Ellis LLP
- Quinn Emanuel Urquhart & Sullivan LLP (for Gautam Adani)
- Hecker Fink LLP (for Sagar Adani)
The SEC said it made repeated attempts over 14 months to serve notices through India’s Ministry of Law and Justice under the Hague Convention, but the requests were rejected on technical grounds.
Details of the Bribery Allegations
The case is based on a civil complaint unsealed on November 20, 2024.
Key Allegations
- A $265 million bribery scheme
- Alleged payments made between 2020 and 2024
- Objective was to secure large solar power contracts from the Indian government
- Contracts expected to generate $2 billion in profits over 20 years for Adani Green Energy
During this period:
- Adani Green raised $750 million through bond issuances
- $175 million came from U.S. investors
- The SEC alleges disclosures on anti-bribery compliance were false or misleading
A parallel criminal case was also filed by the U.S. Attorney’s Office for the Eastern District of New York on the same day, accusing the Adanis and others of violating U.S. securities laws.
Delays in Serving Legal Notices
- First service attempt made in February 2025
- Multiple court updates during the year showed no progress
- Latest update in December 2025 confirmed talks continued until September
- No confirmation of summons delivery so far
The SEC has argued that further delays could weaken enforcement of U.S. securities laws in cases involving foreign business leaders.
Adani Group’s Response
The Adani Group has consistently denied all allegations, calling them “baseless” in a statement issued on November 21, 2024.
- The group said it would pursue all available legal remedies
- No fresh statement was issued on Friday
- The company maintains it follows all laws and rejects any wrongdoing
Additional Pressure From Weak Financial Results
Adding to investor concerns, Adani Green Energy reported:
- A 99% drop in third-quarter profit
- Profit declined to ₹50 million
- Higher finance costs offset gains from power sales and capacity utilisation
What Analysts Are Watching
Market experts say:
- The legal case may lead to increased governance scrutiny
- Future U.S.-linked fundraising could be affected
- Core businesses such as ports, energy, and infrastructure remain operational
A Familiar Phase of Volatility
The episode recalls the 2023 Hindenburg Research report, which erased more than $135 billion in Adani Group market value.
Investors are now closely watching the court’s decision on the SEC’s request, which could accelerate proceedings in this high-profile cross-border case.
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Mansi Sharma is a journalist covering Global Affairs, and wellness, known for turning complex ideas into sharp, engaging narratives. Her work is driven by curiosity, depth, and a constant urge to question and explore. When she’s not writing, you’ll often find her diving into new ideas—preferably with a cup of coffee in hand, one sip at a time.