
A Brooklyn judge dismissed criminal charges against Gautam Adani but criticized the DOJ's handling of the case, calling the circumstances surrounding the decision concerning.
A federal judge in Brooklyn dismissed criminal charges against Gautam Adani on Monday. The judge also questioned the Justice Department's handling of its decision to drop the bribery and fraud case, calling the circumstances surrounding the dismissal unusual.
U.S. District Judge Nicholas Garaufis granted prosecutors' request to throw out the indictment. The charges had accused Adani and seven co-defendants of agreeing to bribe Indian officials to win approval for a solar energy plant and then misleading U.S. investors about the company's anti-corruption practices.
Garaufis said he was satisfied that Adani's November 2024 pledge to invest $10 billion in the United States had not influenced the DOJ's decision. He acknowledged that a judge's role in reviewing prosecutors' decisions to drop charges is limited.
Still, the judge took aim at how the dismissal was handled. He criticized Principal Associate Deputy Attorney General Trent McCotter for working directly with Adani's defense lawyers to craft the motion, bypassing the prosecutors and FBI agents who built the case.
"The irregularities in the decision to dismiss the indictment are concerning," Garaufis wrote. "McCotter appears to have eschewed the professional opinions of innumerable officials from various federal offices and replaced them with his singular judgment."
A Justice Department spokesperson pointed to a July 4 filing in which McCotter said he decided to drop the charges after meeting with defense lawyers and other DOJ lawyers and conducting his own research. McCotter said the case was primarily foreign, difficult to prove, and inconsistent with the department's current priorities. He denied as false what he called media stories suggesting the investment pledge factored into his decision.
Garaufis asked the DOJ to submit more information to help him decide whether to dismiss charges against additional defendants. He wrote that his dismissal should not be interpreted as his agreement with the Justice Department's decision or an opinion about the merits of the allegations.
The dismissal is the latest instance in which federal prosecutors have sought to drop a high-profile white-collar criminal prosecution during President Donald Trump's second term.
In a separate resolution to civil charges brought by the U.S. Securities and Exchange Commission, Gautam Adani agreed to pay $6 million. His nephew, Sagar Adani, agreed to pay $12 million. Adani Enterprises Limited separately agreed to pay $275 million to the U.S. Treasury Department to settle alleged violations of Iran sanctions.
Gautam Adani had not appeared in U.S. court to respond to the criminal charges. In a statement posted on X, he said, "I welcome the U.S. Court's decision with humility and deep respect for the judicial process."
The judge's order noted that Adani's lawyer, Robert Giuffra, told the court in a July 15 declaration that the defendants had informed the Justice Department the Adani Group was "amenable" to following through on the $10 billion investment pledge as part of a resolution. Garaufis wrote that he took "no position on the ultimate propriety of Mr. Giuffra's repeat attempts to resolve this bribery case with monetary offers."
"It is up to the public to decide what effect offers of this kind have on the equal administration of justice and the rule of law," the judge added.
Adani Group has consistently denied the bribery and fraud allegations.
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