Judge Orders DOJ to Justify Dropping Adani Bribery Charges

U.S. District Judge Nicholas Garaufis has ordered the United States Department of Justice to provide a detailed justification for its decision to drop criminal charges against Indian billionaire Gautam Adani, his nephew Sagar Adani, and six other defendants. The charges, filed in 2024, alleged securities fraud, wire fraud, and a $250 million bribery scheme to secure solar power contracts in India while misleading U.S. investors.

The Department of Justice announced its intent to abandon the prosecution on May 18, 2026, citing prosecutorial discretion and a lack of sustainable allegations. However, Judge Garaufis described the government's initial explanation as terse, bland, and conclusory, stating it lacked the factual support necessary for the court to conduct a proper analysis under Rule 48(a) of the Federal Rules of Criminal Procedure. The government must submit a formal response by July 13, 2026.

Lawyers for the Adani Group, including Robert Giuffra, argued the case was fundamentally flawed and outside U.S. legal jurisdiction, claiming transactions involved non-U.S. entities governed by English law. While legal experts described the judge's request as a routine procedural step, the dismissal follows Gautam Adani's pledge of a $10 billion investment in the United States. Separately, the Adani family settled civil charges with the Securities and Exchange Commission for $18 million, and Adani Enterprises agreed to pay $275 million to settle Iran sanctions violations.