US DOJ Defends Decision To Drop Gautam Adani Bribery Case

The US Department of Justice (DOJ) has strongly defended its decision to permanently withdraw the criminal case against Gautam Adani and seven others.

In a 10-page submission before a federal court, the department argued that the prosecution was legally unsound, diplomatically counterproductive and inconsistent with the Trump administration’s enforcement priorities.

The filing came after US District Judge Nicholas Garaufis sought a detailed explanation for the department’s request to dismiss the indictment with prejudice, describing its earlier application as ‘terse, bland, and conclusory’.

Case Background

The case began in 2024 under the Biden administration. Prosecutors accused Gautam Adani and others of an alleged USD 250 million bribery scheme involving Indian government officials.

The indictment also alleged that Adani Green Energy Ltd raised at least USD 175 million from US investors.

Prosecutors claimed the company secured the funds through misleading represent

Principal Associate Deputy Attorney General R Trent McCotter argued that forcing prosecutors to justify dismissal decisions would expose privileged internal deliberations and undermine executive authority. He waived privilege solely for this case after months of legal review and discussions with defence counsel.

“The decision to seek dismissal was not a close call,” he stated.

The department cited six reasons for abandoning the prosecution. It said the alleged conduct occurred predominantly in India.

Indian authorities found no actionable wrongdoing; investors suffered no financial losses; crucial evidence remained overseas.

The defendants were unlikely to appear before a US court, and prosecutors faced substantial evidentiary challenges.

McCotter described the matter as ‘a foreign case’ and said India was better placed to address its own affairs.

The DOJ further argued that the securities fraud allegations lacked proper US jurisdiction and that the cited corporate statements amounted to non-actionable ‘puffery’. It added that the Foreign Corrupt Practices Act charges no longer aligned with the department’s June 2025 Blanche Memorandum.

McCotter also rejected reports linking the dismissal to Adani Group investment commitments, calling such claims ‘false’, and urged the court to dismiss the case without delay.