Gautam Adani and his nephew Sagar Adani have agreed to pay a total of $18 million to settle allegations by the US Securities and Exchange Commission that they made false and misleading statements about Adani Green Energy, according to a proposed settlement filed in federal court that now awaits judicial approval.
Settlement Terms and Court Filing
Under the proposed settlement, Gautam Adani would pay $6 million and Sagar Adani $12 million. The filing, made in federal court on Thursday, requires approval from a judge before it can take effect.
Adani Green Energy said in an exchange filing that Gautam Adani and Sagar Adani had filed their request for entry of final judgment along with the proposed final judgment before the US Eastern District court. The company said both had consented to the entry of final judgment without admitting or denying the allegations made in the civil complaint and to the payment of civil penalties of $6 million and $12 million respectively.
The development comes alongside a Bloomberg report cited in the screenshots, which said the US Justice Department is also moving to drop fraud charges against Gautam Adani in a related criminal case. The sources say these developments may help the group return to international capital markets and continue its expansion plans.
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SEC Allegations in Adani Green Case
The SEC had sued in November 2024, alleging that Gautam Adani led efforts to pay or promise bribes to Indian officials to secure contracts for Adani Green’s solar power project. The regulator also alleged that Gautam and Sagar Adani falsely promoted the company’s compliance with anti bribery laws in connection with a $750 million bond offering.
At the time, the SEC said Adani Green had raised at least $175 million from US investors. The screenshots also note that the SEC did not sue the conglomerate itself or its corporate units, and that the company had denied the US allegations.
The case therefore centred on alleged false and misleading statements tied to fundraising and compliance representations, rather than action directly against the broader group structure.
Jurisdiction Arguments and Pending Approval
The Justice Department prosecution had stalled because the Adanis were not in the United States, though the SEC case continued in court. In January, Robert Giuffra Jr, co chair of Sullivan and Cromwell, told a federal judge that he had reached an agreement to accept the lawsuit on Gautam Adani’s behalf. Court filings also showed that US based lawyers had agreed to accept formal notification for Sagar Adani.
Gautam Adani’s lawyers later argued that the SEC’s fraud case should be dismissed, citing lack of jurisdiction and contending that the alleged misstatements were not actionable. The proposed settlement has now moved the case toward closure, but it remains subject to judicial approval before becoming final.
About the author – Rehan Khan is a law student and legal journalist with a keen interest in cybercrime, digital fraud, and emerging technology laws. He writes on the intersection of law, cybersecurity, and online safety, focusing on developments that impact individuals and institutions in India.
