In a shocking turn of events, the Indian stock market faced significant turbulence as shares of the Adani Group plummeted by up to 20 percent following allegations of bribery against Chairman Gautam Adani. A public prosecutor in New York has accused Adani and his associates of paying bribes totaling ₹2,029 crore (approximately $265 million) to government officials in India to secure contracts for solar power supply. This allegation has sent ripples through the market, causing the Sensex and Nifty indices to experience a steep decline. The impact of the news was felt immediately when the market opened, with Adani Enterprises, the flagship company of the Adani Group, witnessing a staggering 20 percent drop. Other group companies also bore the brunt of the fallout: Adani Green Energy shares fell by 19.17 percent, Adani Total Gas saw an 18.14 percent decrease, Adani Power dropped by 17.79 percent, and Adani Ports fell by 15 percent.
Additionally, shares of Ambuja Cements and ACC saw declines of 14.99 percent and 14.54 percent, respectively, while NDTV shares fell by 14.37 percent and Adani Wilmar by 10 percent. In total, the Adani Group experienced a devastating loss of approximately ₹2 lakh crore in market value, marking one of the company's worst performances since the publication of the Hindenburg Report in January 2023. Investors are left grappling with uncertainty as further investigations loom over the allegations, casting a shadow over the once-thriving conglomerate. As the situation continues to develop, the repercussions of this scandal may resonate far beyond the stock market, raising questions about corporate governance and compliance in one of India's largest business empires.
