Life Insurance Corporation (LIC) has issued a strong rebuttal to a report by The Washington Post claiming that government officials pressured the insurer to funnel $3.9 billion into companies owned by billionaire Gautam Adani amid his legal troubles in the U.S. In a statement issued on social media, the state-run life insurer said that it takes al its investment decisions independently, and denied the existence of the documents claimed by the Post.
The insurer categorically rejected the existence of any “document or plan” outlining a roadmap for channelling funds into Adani Group companies, calling the allegations false, baseless, and far from truth.
The statement by LIC said, “The allegations leveled by the Washington Post that the investment decisions of LIC are influenced by external factors are false, baseless, and far from truth. No such document or plan as alleged in the article has ever been prepared by LIC, which creates a roadmap for infusing funds by LIC into Adani group of companies.”
LIC denies false reports by The Washington Post, reaffirming all investments are made with integrity and due diligence.#LIC #HarPalAapkeSaath #washingtonpost pic.twitter.com/RQ0N2AvBA1
— LIC India Forever (@LICIndiaForever) October 25, 2025
It further added, “The investment decisions are taken by LIC independently as per Board approved policies after detailed due diligence. Department of Financial Services or any other body does not have any role in such decisions. LIC has ensured highest standards of due diligence and all its investment decisions have been undertaken in compliance with extant policies, provisions in the Acts and regulatory guidelines, in the best interest of all its stakeholders.”
Alleging conspiracy behind the article written by Pranshu Verma and Ravi Nair, the statement added, “These purported statements in the article appear to have been made with the intentions to prejudice the well settled decision-making process of LIC and also to tamish the reputation and image of LIC and the strong financial sector foundations in India.”
The controversy erupted with the Washington Post‘s exclusive story published Friday, which alleged that internal government documents revealed a deliberate plan to direct public funds from LIC toward Adani’s stocks. It claimed that LIC was pressured into a significant investment plan to support Adani firms.
However, now LIC has dismissed these allegations as baseless, emphasizing that no external influence or secret roadmap exists for its investments in Adani or any other entity.
Notably, it has also emerged that LIC’s exposure to Adani Group stocks remains under 1% of its total assets under management. Moreover, as LIC invested in Adani stocks after they crashed following the Hindenburg report, the insurer made substantial profits after the stocks rebound after all allegations against the conglomerate were dismissed and the US short seller Hindenburg was shut down.
