Bombay High Court Discharges Gautam Adani in Market Violation Case After Decade-Long Legal Battle

Bombay High Court Discharges Gautam Adani: Adani Group Chairman Gautam Adani and Managing Director Rajesh Adani have been discharged by the Bombay High Court in a case related to alleged market regulation violations worth nearly Rs 388 crore. The court's decision brings an end to a long-standing legal battle that began in 2012.

The case dates back to 2012 when the Serious Fraud Investigation Office (SFIO) filed a chargesheet against Adani Enterprises Limited (AEL) and its promoters, accusing them of criminal conspiracy and cheating. The investigation was linked to alleged violations of market rules and financial irregularities.

The case, initiated by the Serious Fraud Investigation Office (SFIO) in 2012, accused Adani Enterprises Limited (AEL) and its promoters of criminal conspiracy and cheating. A chargesheet was filed against them, along with 10 others.

Legal Battle Spanning Over a Decade

In 2014, a magistrate court discharged AEL and the Adanis. However, this was overturned in November 2019 by a sessions court in Mumbai, which, on a revision plea, ruled that the SFIO’s investigation “prima facie” showed unlawful gains of Rs 388.11 crore by Adani Group promoters and Rs 151.40 crore by Ketan Parekh through alleged manipulation of AEL shares.

Also Read: Vadodara Car Crash Accused’s ‘Another Round’ Chant Linked to Oscar-Winning Film on Binge Drinking: Police

Following this, Gautam Adani and Rajesh Adani filed a petition in the Bombay HC, challenging the sessions court’s decision and terming it “arbitrary and illegal.” The high court stayed the sessions court order in December 2019, extending the relief periodically.

Sessions judge D E Kothalikar had then held that there was sufficient ground to proceed against the Adanis. Following this, the high court stayed the sessions court order in December 2019, and the stay was extended repeatedly until the final verdict on Monday.

In February 2023, the high court questioned the SFIO—an agency under the Union Ministry of Corporate Affairs—about its delay in pursuing the case, noting there had been no hearing since February 10, 2022, when the interim stay was extended. The court asked whether the lack of action was due to the “scenario outside”.

Also Read: Will Sunita Williams Get Paid for 9-Month Space Overtime? Ex-Astronaut Reveals

At that time, the Adani Group was under public scrutiny after US-based firm Hindenburg Research released a report accusing the conglomerate of “brazen stock manipulation and accounting fraud scheme over decades”.

HC Quashes Case, Adanis Discharged

On Monday, Justice R N Laddha of the Bombay High Court quashed the sessions court’s order and discharged both Adani Group leaders from the case. While a detailed order is awaited, the ruling marks a significant legal victory for the Adani Group.

The case originated from regulatory compliance concerns and financial transactions flagged by the SFIO. However, with the HC's ruling, the legal proceedings against Gautam Adani and Rajesh Adani have come to an end.

Also Read: New Footage of Sudiksha Konanki Before Disappearance Shows Joshua Riibe Struggling Nearby