President William Ruto has instructed the Ministries of Transport and Energy to terminate the current agreements proposed by the Adani Group concerning the nation’s infrastructure in the energy and aviation sectors.
In his State of the Nation Address on Thursday, the president indicated that this decision was based on credible evidence provided by the relevant agencies.
He emphasized that the ongoing agreements with the Adani Group could not proceed in light of such overwhelming evidence.
The United States government has accused Gautam Adani, the chairman of the Indian conglomerate Adani Group, of allegedly bribing the Indian government with Ksh 30 billion to secure solar energy supply contracts.
“In the face of undisputed evidence or credible information on corruption, I will not hesitate to take action. Based on new information provided by our investigative agencies and partner nations – that the procuring agencies within the Ministry of Transport and the Ministry of Energy and Petroleum immediately cancel the ongoing procurement process for the JKIA Expansion Public Private Partnership transaction, as well as the recently concluded KETRACO transmission line Public Private Partnership contract, and immediately commence the process of onboarding alternative partners,” said Ruto.
As earlier reported, Adani was indicted in the United States on multiple charges, including securities fraud and conspiracy to commit wire fraud.
The indictment, unsealed on November 20, 2024, marks a dramatic escalation in ongoing investigations into alleged corrupt practices linked to one of Adani’s flagship solar energy projects in India.
The indictment alleges that Adani and several associates engaged in a scheme to mislead investors regarding the integrity of the solar project, which was touted as a cornerstone of India’s renewable energy ambitions.
Prosecutors claim that the Adani Group, specifically its subsidiary Adani Green Energy Ltd., falsely represented its anti-corruption measures to attract billions of dollars in foreign investment.
According to court documents, the scheme involved the payment of approximately $265 million in bribes to Indian officials to secure contracts and regulatory approvals essential for the project’s success.
The indictment details how these actions not only violated U.S. securities laws but also undermined the trust of investors who believed they were supporting a legitimate and ethically run enterprise.
The ramifications of this indictment are profound, particularly for investors who have placed their faith—and money—in the Adani Group.
