Adani retains global support as Israel, others back it despite bribery row

The Adani Group holds a 70 per cent stake in Haifa port in northern Israel and is involved in military drone production, with plans for manufacturing commercial semiconductors

Israel has reiterated its support for the Adani Group despite bribery allegations against its founder in the United States. Reuven Azar, Israel’s envoy to India, expressed optimism about the conglomerate’s ongoing involvement in the country, Reuters reported on Thursday.

 

“We wish Adani and all Indian companies continue to invest in Israel,” Azar said in an interview, adding that the allegations made by US authorities were “not something that’s problematic” from Israel’s perspective.

 

The Adani Group holds a 70 per cent stake in Haifa port in northern Israel and is involved in ventures such as military drone production and plans to manufacture commercial semiconductors.

 

 

Global partners maintain confidence in Adani

 

Abu Dhabi’s International Holding Company (IHC), a key investor in Adani, also reaffirmed its trust in the group despite recent controversies. IHC, which manages assets worth nearly $100 billion, stated that its partnership with Adani remains strong.

 

“Our partnership with the Adani Group reflects our confidence in their contributions to the green energy and sustainability sectors,” IHC said.

 

The fund invested $500 million each in Adani Green Energy and Adani Transmission in 2022 and an additional $1 billion in Adani Enterprises. After restructuring its portfolio, IHC has maintained a stake of over 5 per cent in Adani Enterprises.

 

The Sri Lanka Ports Authority has also voiced its continued confidence in Adani’s role in expanding the country’s port infrastructure. The group’s $1 billion investment in Colombo port terminal marks Sri Lanka’s largest foreign direct investment in the sector. The terminal is expected to become operational within months, with no plans for cancellation, said Admiral Sirimewan Ranasinghe, chairman of the authority.

 

Similarly, Tanzania’s government reaffirmed its agreements with Adani Ports. The recently finalised 30-year concession to operate Container Terminal 2 at Dar es Salaam port highlights the collaboration. Adani Ports has also acquired a 95 per cent stake in Tanzania International Container Terminal Services for $95 million.

 

Adani Group denies bribery charges by US DoJ

 

The Adani Group has denied the allegations outlined in a recent indictment by the U.S. Department of Justice (DoJ), calling them baseless and pledging legal action. The indictment, filed in a New York court, does not name Gautam Adani or senior executives but alleges $265 million in bribes to secure solar power contracts.

 

Instead, the charges pertain to securities fraud and wire fraud conspiracy, which typically carry lighter penalties than bribery.

 

Adani Green Energy Limited (AGEL), the group company at the centre of the allegations, stated in a regulatory filing that the charges lack merit. The group has pledged to defend its interests in court.

 

(With agency inputs)