Adani Group rejects Hindenburg claims on Swiss bank funds freeze

Last year, Adani’s market value dropped significantly following a report from Hindenburg accusing the conglomerate of engaging in corporate fraud.

• EasternEye
• 13 September, 2024

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By: EasternEye

THE ADANI Group has denied any involvement in a money laundering and securities fraud investigation that reportedly led to the freezing of over £237 million in Swiss bank accounts.

US-based short-seller Hindenburg Research, known for its criticism of the Indian conglomerate, referred to Swiss court records in making the claim on Thursday. The claims were based on reports from Swiss media outlet Gotham City, which Hindenburg shared on the social media platform X.

“Swiss authorities have frozen more than £237 million in funds across multiple Swiss bank accounts as part of a money laundering and securities forgery investigation into Adani,” Hindenburg said.

Hindenburg further claimed that prosecutors had identified an “Adani frontman” who allegedly moved funds through the British Virgin Islands, Mauritius, and Bermuda to invest in Adani stocks.

The Adani Group dismissed these allegations, describing them as “preposterous” and “baseless.”

“The Swiss court has neither mentioned our group companies, nor have we received any requests for clarification or information from any such authority or regulatory body,” the company stated.

This exchange marks the latest in an ongoing conflict between Hindenburg and the Adani Group, which operates in sectors including mining, power, ports, and media.

Last year, Adani’s market value dropped significantly following a report from Hindenburg accusing the conglomerate of engaging in corporate fraud. Gautam Adani, the group’s founder and Asia’s second-richest man, denied those allegations, calling them a “deliberate attempt” to damage the company for the benefit of short-sellers like Hindenburg.

Shares in Adani were unchanged on Friday.

(With inputs from AFP)