The US prosecutors seem to have gone wrong in their calculation of the alleged bribe amount. The prosecutors said the Adanis agreed to pay $250 million for an energy business that would generate a profit of $2 billion in 20 years. The alleged bribe amount constitutes 12 per cent of the estimated 20-year profit. The upfront bribe amount itself would be more than the value of the aggregate 20-year profit if 20-year interest is added to the bribe amount. Such a babyish allegation is only to torture a promising Indian business group, which is rapidly expanding its global footprint.
How does the Adanis become a pain in the neck of many political and business lobbies in India and abroad? Adani is a successful Indian business model with a track record of setting higher than a global standard in every field it enters – be it in the port, energy, weapon manufacturing, food and infrastructure sectors. It carries the true image of an unbeatable modern India with a footprint in the global arena. In the global market, whatever the Adanis does contributes to the expanding clout of India. That is one of the reasons for the restlessness of the detractors of India and opponents of the incumbent Indian government. Their hostility to the Adani group is baseless but can only inflict damage on the image of the group, and perhaps temporary cancellation of some projects. The detractors do it sadistically. However, the Rs 3.09 trillion turnover group will continue to grow as investors are ready to fund its project because of its project execution skill without cost or time overrun.
Adani is not into politics nor does his business group favours any political party. Yet, his name is dragged into politics in the name of being a businessman hailing from the State of the Prime Minister. As an entrepreneur Gautam Adani and his business group have seen the governments at the Centre changing in the last three and a half decades. Adani had a good relationship with the previous governments too. No government can ever look at any business house with hostility. Every ruler understands the economic importance of a business group. The Adani group, like other business groups, contributes to the economic growth of the country and generates jobs for people. The group has more than 36,000 employees and it generates several fold more indirect employment.
On 20th November, 2024 Adani was charged with fraud in New York, accusing him of orchestrating a $250 million bribery scheme and concealing it. The US prosecutors alleged the Indian entrepreneur and other senior executives agreed to pay Indian officials to win contracts for his renewable energy company. Interestingly, the energy contracts would yield $2bn in profits over 20 years. To earn a profit of $2 billion over 20 years how would any businessman with a common sense pay roughly 12 per cent of the profit upfront by way of $250 million bribery? Adani would not commit the mistake the US prosecutors made in their calculation while filing charges. The indictment did not confirm the payment of bribes but alleged that the Adanis agreed to pay. Such charges are baseless and part of a conspiracy against Adani’s bond issue. Adani’s growing global clout in the port and energy sectors, as well as in weapon production.
Adani’s strong will is the strong will of Modern India. No dirty game lasts long. The Adanis will overcome all the challenges and bounce back unhurt to continue its business as a great Indian business group. The 21st century is the era of India.
