US judge dismisses fraud charges against Gautam Adani, two executives

Washington, August 11, 2026 (Yes Punjab News)

A US federal judge has dismissed criminal fraud charges against Indian billionaire Gautam Adani and two other executives after the Justice Department moved to abandon the prosecution.

US District Judge Nicholas Garaufis on Monday dismissed with prejudice the securities fraud, wire fraud conspiracy and securities fraud conspiracy charges against Gautam Adani, Sagar Adani and Vneet Jaain. The dismissal with prejudice means the charges cannot be brought again.

The three executives had been accused of misleading US and international investors in connection with an alleged scheme to pay approximately $265 million in bribes to Indian officials to secure solar energy contracts. They had denied the allegations.

Garaufis accepted the Justice Department’s narrower argument that corporate statements cited in the indictment could be viewed as vague assurances or “inactionable puffery” rather than material misrepresentations.

However, the judge rejected the department’s broader criticism of the prosecution. Justice Department official R. Trent McCotter had characterised the indictment as a “name and shame” exercise by the previous administration and suggested that officials had left a potentially difficult case for the incoming administration.

Monday’s ruling did not dispose of the entire five-count indictment against all eight defendants.

Garaufis reserved judgment on foreign bribery and obstruction charges against Ranjit Gupta, Cyril Cabanes, Saurabh Agarwal, Deepak Malhotra and Rupesh Agarwal. He directed the Justice Department to provide sufficient factual grounds for dismissing those charges by August 31.

The judge also clarified that his dismissal of the fraud charges should not be interpreted as an endorsement of the Justice Department’s decision or as a ruling on the merits of the underlying allegations.

The indictment was returned in October 2024 and unsealed the following month. US prosecutors had alleged that the defendants were involved in bribery, investor fraud and obstruction schemes connected with renewable energy projects in India.

Separate civil enforcement proceedings filed by the US Securities and Exchange Commission (SEC) remain distinct from the criminal case and are not automatically affected by the latest ruling.