On Monday, 10th August, a US federal court dismissed the criminal case against Indian billionaire Gautam Adani. Brooklyn-based US District Judge Nicholas Garaufis allowed federal prosecutors to dismiss the case.
However, the judge who approved the dismissal raised several questions about how the Justice Department decided to drop the charges.
Judge Nicholas Garaufis allowed federal prosecutors to dismiss the case but asked them to explain why they wanted to withdraw the charges. He said the process followed by the Justice Department was unusual and concerning.
The judge specifically questioned the role of Principal Associate Deputy Attorney General Trent McCotter, who worked with Adani’s defence lawyers while deciding whether the case should be dropped. Garaufis said McCotter appeared to have ignored the views of several federal officials and investigators who had worked on the case and instead relied on his own judgment.
Questions over $10 billion investment
One of the key issues before the court was Adani’s promise to invest $10 billion in the United States. Adani had made the investment commitment in November 2024.
In April 2026, a legal team led by Robert J. Giuffra Jr., the lawyer representing Gautam Adani, participated in a meeting at the DoJ headquarters. In this meeting, Giuffra presented a defence contending insufficient evidence and a lack of US jurisdiction, since the alleged conduct occurred entirely in India and bonds were not listed on US exchanges, and investors were repaid in full, thus causing no investor harm.
During the meeting, Giuffra ran a 100-slide presentation, with one of the slides referencing the $10 bn investment pledge Adani made in November 2024 that would generate around 15,000 jobs. This 100-slide presentation mainly focused on why the prosecutors lacked evidence against the Adanis.
The judge had earlier asked whether the pledge played any role in the Justice Department’s decision to abandon the criminal case. McCotter denied that the investment promise influenced his decision and said media reports suggesting otherwise were false.
However, in a sworn declaration filed on 15th July, Adani acknowledged the $10 billion pledge. He said his lawyers had told the Justice Department during meetings that the investment could “be part of a resolution” of the cases.
Adani’s lawyer Robert Giuffra also said the defendants had told the Justice Department that Adani Group was willing to go ahead with the investment pledge as part of a resolution.
Garaufis said he was not deciding whether such offers were proper. He said the public would have to decide what effect offers of this kind could have on equal justice and the rule of law.
Why did the Justice Department drop the charges?
Adani was charged in 2024 with agreeing to bribe Indian government officials to help an Adani Group subsidiary obtain approval for a solar energy project. US prosecutors also accused him of giving misleading information to US investors about the company’s anti-corruption practices.
Adani Group has consistently denied wrongdoing. Gautam Adani has also not appeared in a US court to respond to the charges.
In a 4th July filing, McCotter said the case was mainly foreign in nature, difficult to prove and did not fit the Justice Department’s current priorities. He said he decided after meeting defence lawyers, consulting Justice Department lawyers and conducting his own research and analysis.
The Justice Department also faces separate developments involving the Adani family and group companies. In a civil case brought by the US Securities and Exchange Commission, Gautam Adani agreed to pay $6 million, while his nephew Sagar Adani agreed to pay $12 million.
Separately, Adani Enterprises Limited agreed to pay $275 million to the US Treasury Department to settle violations related to Iran sanctions.
Adani welcomes the court order
I welcome the US court’s decision with humility and deep respect for the judicial process.
— Gautam Adani (@gautam_adani) August 10, 2026
Throughout this challenging period, our faith in truth, fairness and the rule of law remained unwavering.
My deepest gratitude to those who never lost faith in us, in the system and in…
After the ruling, Gautam Adani said he welcomed the court’s decision with “humility and deep respect” for the judicial process.
