Sagar Adani's $35 billion green vision eclipsed by bribery allegations

Earlier this week, 30-year-old Sagar Adani, son of Rajesh Adani (younger brother of Adani group Chairman Gautam Adani) and executive director of BSE-listed Adani Green Energy, unveiled a bold vision to lead Adani group towards a more sustainable future. Speaking at an event hosted by State Bank of India in Mumbai, Sagar revealed plans to invest $35 billion over the next five years in large-scale solar, wind, and hybrid energy projects. This initiative is part of the group’s broader $100 billion investment strategy for the coming decade.

 

However, just days later, Sagar found himself embroiled in controversy after being named by US prosecutors in an alleged bribery scheme involving Indian government officials. The charges, raised by the US Department of Justice and the US Securities and Exchange Commission, were swiftly denied by an Adani group spokesperson, who called the accusations “baseless” and pledged to pursue all legal avenues to clear their names.

 

 

The Adani family’s rise to prominence traces back to 1988, when Gautam Adani, the group’s billionaire founder, established a commodity trading business with his brothers Vinod and Rajesh. From there, the group expanded into sectors ranging from ports and airports to coal, electricity generation, cement, and media, amassing a family fortune of $125 billion.

 

As the next generation takes on leadership roles — including Karan and Jeet, sons of Gautam Adani, Pranav, son of Vinod Adani, and Sagar — their respective responsibilities have been clearly outlined, according to an August Bloomberg report.

 

Sagar, who joined Adani group in 2015 after graduating from Brown University, initially worked in the projects division. Today, he is the face of the group’s green energy sector and is credited with building Adani Green Energy’s solar and wind portfolio. His responsibilities now include overseeing the organisation’s strategic and financial operations.

 

The charges against Sagar stem from his role on the board of the Indian Energy Company, where he has served since October 2018. US prosecutors allege that he was involved in discussions regarding compliance with the Foreign Corrupt Practices Act, which investigates potential unlawful payments to government officials. Despite these concerns, the joint book runners for a 2021 144A bond by the company concluded that there were no anti-bribery issues.

 

An Adani group statement reiterated the US Department of Justice’s position, observing that “the charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty”.