Telangana’s government turned down the pledged ₹100 crore donation, aiming to shield itself from political backlash….reports Asian Lite News
The Adani Group, led by billionaire Gautam Adani, finds itself mired in controversies both domestically and internationally.
In Telangana, Chief Minister A Revanth Reddy announced the rejection of a ₹100 crore donation from the Adani Foundation to the Young India Skills University, citing the recent indictment of Gautam Adani in the United States.
Meanwhile, French energy giant TotalEnergies SE has paused fresh investments in the Adani Group pending the resolution of bribery allegations.
Telangana Rejects Adani’s Donation
Telangana’s government turned down the pledged ₹100 crore donation, aiming to shield itself from political backlash.
The decision came after Adani was accused in a U.S. court of paying $265 million in bribes to secure solar energy contracts.
A letter from Telangana’s Special Chief Secretary Jayesh Ranjan to Dr. Priti Adani stated that, while the university had recently secured tax exemptions under Section 80G, Chief Minister Reddy instructed against accepting the funds due to the controversies surrounding Adani.
The Telangana government, previously criticized by opposition parties for courting Adani Group investments, emphasized its commitment to maintaining the state’s honour.
“We have not taken even a single rupee from anyone to avoid controversies involving me or my Cabinet colleagues,” Reddy asserted.
This decision mirrors growing political tensions in neighbouring Andhra Pradesh, where Chief Minister N. Chandrababu Naidu assured legislative action if irregularities related to Adani’s projects under the previous government are confirmed.
TotalEnergies Halts New Investments
Internationally, TotalEnergies SE, a major investor in the Adani Group, has put its planned investments on hold.
The French company, which holds stakes in Adani Green Energy Limited (AGEL) and Adani Total Gas Ltd (ATGL), stated it was unaware of the U.S. investigation when it made its investments.
TotalEnergies clarified that the allegations target individuals, not AGEL or its affiliated companies.
Despite its significant stake in AGEL (19.75%) and several joint ventures with the Adani Group, TotalEnergies declared its commitment to combating corruption and protecting its interests. “We reject corruption in any form,” the company said in a statement.
The French energy giant also revealed that it had suspended a $50 billion green hydrogen project with the Adani Group announced in 2022, pending the results of an internal audit launched after U.S. short-seller Hindenburg Research accused Adani companies of financial malpractices.
Mixed Reactions from Investors
While TotalEnergies is adopting a cautious approach, GQG Partners, another major investor, has expressed confidence in its $8.1 billion stake in Adani Group companies.
GQG emphasized that the allegations are limited to AGEL and do not implicate other Adani businesses.
“There are many global examples where similar allegations have not derailed businesses,” GQG stated, adding that the indictment may take years to resolve.
The firm remains committed to its investment strategy while monitoring developments closely.
Mounting Challenges
The indictment has added to the challenges for the Adani Group, which already faced significant scrutiny following the Hindenburg Research report in January 2023.
That report led to a $150 billion market rout across Adani’s companies. While much of the market value was recovered, last week’s legal troubles in the U.S. reignited concerns.
Adani has consistently denied the allegations, labelling them an attack on India and its economic aspirations. The conglomerate reiterated its adherence to governance and compliance standards and vowed to fight the charges legally.
Broader Implications
The setbacks in Telangana and France highlight the increasing global and domestic scrutiny of Adani’s operations.
With TotalEnergies and other stakeholders reassessing their commitments, the Adani Group faces mounting pressure to address the allegations while ensuring continuity in its projects.
As legal battles unfold, the group’s ability to navigate these challenges will significantly impact its standing in India and the international market.
‘We will raise Adani issue to save country’
Hitting back at Prime Minister Narendra Modi’s criticism of the opposition for “disturbing” the house, Congress President Mallikarjun Kharge on Monday said that they wanted to discuss the Adani group’s alleged “bribery and fraud” case in Lok Sabha to save the country, not to disturb the house.
Congress President alleged that public money was used to give bribery, and there are serious allegations of “corruption, bribery and financial irregularities.”
Addressing a press conference, Mallikarjun Kharge said, “In the Parliament, we wanted to raise the issue of Adani under rule 267. There are serious allegations of corruption, bribery and financial irregularities against the Adani Group. Gautam Adani’s indictment in an alleged “bribery and fraud” case is a serious issue. We wanted to discuss this issue in Lok Sabha. Around Rs 2030 crores bribery was given. Public’ money was used to give bribery.”
“We wanted to discuss this issue in the Parliament and present it before the Lok Sabha Speaker and ministers… The intelligence agencies of USA have all the reocrds. Before this, Adani group was also involved in the stock foul, accounting fraud, etc,” he added.
Attacking Prime Minister Modi further, Kharge alleged that wherever PM Modi goes, the Adani group gets contracts, adding that he has a “long list” of such instances.
“We also want to explain this to the Rajya Sabha Chairman, PM and other ministers. We would have put these issues before them…Wherever PM Modi goes, this group gets contracts. I have a very long list of places where PM Modi has gone and which contracts they have got at which places. We wanted this should be discussed in the House… We raised this issue to save the country, not to disturb the house. Whatever PM Modi says about disturbing the house, creating hooliganism… Is this hooliganism? In June 2015, he went to Bangladesh and Adani’s were allocated Jharkhand Electricity Export project…Kenya cancelled his projects after locals protested,” Kharge said.
The Winter Session of Parliament commenced on Monday morning but faced early disruptions, leading to the adjournment of both Lok Sabha and Rajya Sabha for the day.
After the Lok Sabha began proceedings for the day, Speaker Om Birla read out obituary references before adjourning it to 12 noon. A short while later the Speaker adjourned the House for the day to meet again on Wednesday.
Earlier in the day, PM Modi criticised the opposition, saying those who were rejected by people 80-90 times were trying to control Parliament by resorting to hooliganism for their own political gains.
Delivering his customary address to media persons this morning ahead of commencement of proceedings of the Parliament, Prime Minister said that the main objective of the Opposition parties seems to be hindering the functioning of Parliament rather than contributing to its progress.
Taking a jab at the opposition alliance, PM Modi said, “Unfortunately, some people, who have been rejected by the public, are constantly trying to control the parliament for their own political interests through the hooliganism of the people. The public counts all their activities and punishes them when the time comes.”
“The most important thing is that the new members of parliament who come with new ideas and energy are usurped by some people. They do not even get the opportunity to speak in the Parliament. In the democratic tradition, the job of every member is to prepare the next members, but those who have been rejected by the people 80-90 times, do not allow any discussion in the Parliament, do not respect the sentiments of democracy, do not understand the importance of people’s expectations,” he added.
Earlier today, Congress MP and General Secretary Venugopal gave an adjournment notice ahead of Parliament’s winter session to discuss the indictment of the Adani group and to form a Joint Parliamentary Committee (JPC) to investigate the alleged bribery charges.
Congress MP Manish Tewari along with Manickam Tagore also wrote a letter to the Secretary General of Lok Sabha, making aware of their intentions to move an adjournment motion to discuss Gautam Adani’s indictment in an alleged “bribery and fraud” case.
Aam Aadmi Party MP Sanjay Singh has also gave a Suspension of Business Notice (under rule 267) to discuss the indictment by a US court. (ANI)
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