Adani Group revives US investment strategy: FT
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The news: Indian conglomerate Adani Group, has renewed its plans to fund nuclear power and utilities projects in the US, despite pending criminal charges against founder Gautam Adani in the country, according to sources cited by the Financial Times.
The numbers: The infrastructure-focused group first shared its plans to invest USD10 billion ($16.1 billion) in the US following President Trump’s election victory. The investment would have created up to 15,000 jobs.
Weeks after Adani’s commitment, the plans were thought to be shelved after the billionaire was among a number of individuals indicted by US authorities on charges tied to an alleged USD265 million Indian solar energy bribery scheme.
The context: President Trump ordered a halt to enforcement of the Foreign Corrupt Practices Act in early February, setting expectations that the cases brought against Adani would eventually be dropped. While Adani was not charged under the act (he is not a US citizen), the act underpins indictments against others reportedly involved in the scheme.
FT sources close to Adani said: “We know what we want to do, but we will wait until this [case] resolves.”
The Group has previously been in talks with US firms on potential partnerships and petrochemical investments, and is likely to be welcomed by Trump’s administration which is seeking to promote foreign investment from US allies under the ‘America First Investment Policy.’
Earlier this year, six Republican congressmen wrote to US attorney-general Pam Bondi, criticising the Department of Justice’s cases against Adani. The letter seen by the FT says that the “misguided crusade” would harm India-US relations and that “needless pursuits against those who have contributed tens of billions and created thousands of jobs deter and discourage investors from contributing to our economy.”
The source: Financial Times
