Adani's Legal Gambit: Can Trump Administration Influence Turn the Tide?

The Adani Group, India’s infrastructure and energy conglomerate, has entered a high-stakes legal and political dance with the U.S. government. According to Bloomberg News, representatives of billionaire Gautam Adani have been meeting with officials from the Trump administration to secure the dismissal of criminal charges tied to a sprawling overseas bribery probe. This push coincides with a dramatic policy shift under President Trump, who in February 2025 issued an executive order halting prosecutions under the Foreign Corrupt Practices Act (FCPA) until revised enforcement guidelines could be drafted. The move has breathed new life into Adani’s defense strategy—and sent ripples through global markets.

Background: The Adani Case and U.S. Charges

In November 2023, U.S. authorities indicted Gautam Adani and his nephew Sagar Adani, alleging they paid bribes to Indian officials to secure power supply contracts and misled investors during a $750 million bond offering for Adani Green Energy. The Department of Justice (DOJ) and Securities and Exchange Commission (SEC) accused the Adanis of violating anti-bribery laws and securities regulations. Adani Green Energy responded with an internal review, denying any wrongdoing, but the charges threatened to destabilize the group’s $50 billion market cap and its ambitious renewable energy projects.

The Adani camp’s legal team has now turned to political leverage. By engaging Trump officials, they argue that the prosecution clashes with the administration’s “pro-competitiveness” agenda. This strategy hinges on the FCPA pause, which has already led to dismissals in other high-profile cases, such as those involving former Cognizant executives and Swiss commodity firm Glencore.

The Trump Administration’s Policy Shift

President Trump’s February 2025 executive order marked a seismic shift in U.S. anti-bribery enforcement. It directed the DOJ to prioritize prosecutions of drug cartels and international crime syndicates over corporate FCPA cases, arguing that strict enforcement disadvantages U.S. firms competing globally. Attorney General Pam Bondi’s subsequent memos emphasized this pivot, instructing prosecutors to focus resources on “national security” priorities.

The policy’s impact has been swift. By mid-2025, over 30 FCPA-related cases—including those targeting Adani affiliates—were placed on hold. In a symbolic win for the administration’s stance, U.S. Attorney Alina Habba, a Trump ally, dismissed charges against Cognizant executives accused of bribing Indian officials, citing the new enforcement priorities. Meanwhile, Glencore negotiated an end to its $140 million compliance monitorship, a costly requirement imposed after its 2022 FCPA plea.

Implications for Investors

For Adani’s stakeholders, the stakes are enormous. A dismissal of charges would likely catalyze a rebound in ADANIPORTS.NS, which plummeted 35% in 2023 amid the scandal. However, even with the FCPA pause, risks remain. The SEC’s parallel civil case against Adani Green Energy—which seeks $2.3 billion in investor restitution—could proceed independently, and global regulators in India and Europe may still pursue separate probes.

The broader market is also watching closely. The FCPA pause has already fueled a rally in stocks of companies with pending bribery investigations, including Azure Power (a solar partner of Adani) and Cognizant. Yet skepticism persists: critics argue the policy shift risks eroding U.S. leadership in anti-corruption efforts, potentially inviting retaliatory measures from trading partners.

Conclusion

Adani’s legal battle hinges on the interplay of political will and judicial precedent. With 26 FCPA cases stalled since 2025 and the DOJ’s new focus on “strategic priorities,” the Adani Group stands a fighting chance to dismiss charges. However, investors must weigh this possibility against lingering uncertainties: the SEC’s civil case, global regulatory scrutiny, and the potential for bipartisan backlash in Congress.

Should the administration succeed in overturning the charges, ADANIPORTS.NS could reclaim its pre-scandal valuation, buoyed by renewed investor confidence in its renewable energy projects. But if the legal tide turns, the fallout could be severe, with Adani’s market cap—and its ambitions to dominate Asia’s energy transition—left in tatters. For now, the world is watching whether politics will triumph over the rule of law.

In a landscape where policy shifts can redefine corporate fate, the Adani case is a stark reminder: in global markets, every legal win—or loss—is also an investment story waiting to unfold.