TotalEnergies has announced it will cease new financial contributions to the Adani Group following the indictment of several executives from the conglomerate by U.S. authorities.
This indictment is linked to an alleged corruption scheme involving Adani Green Energy Limited (AGEL), although AGEL itself and its related companies are not targeted by these charges.
In a statement released on November 25, 2024, TotalEnergies emphasised its commitment to rejecting corruption in all forms, in line with its code of conduct.
The company, which holds a 19.75 per cent minority stake in AGEL and a 50 per cent stake in several joint venture projects with AGEL, clarified that it is not implicated in the allegations against the Adani executives.
TotalEnergies plans to take all necessary actions to safeguard its interests during this period of uncertainty.
Until the allegations against the Adani executives are resolved, TotalEnergies will refrain from making any further financial investments in the Adani Group.
The company reiterated that its previous investments were made in full compliance with applicable laws and internal governance processes, and stated that it was unaware of any ongoing investigations at the time of its investment decisions.
TotalEnergies first acquired its minority interest in AGEL in January 2021 as part of a strategy to expand its renewable energy portfolio in India.
This acquisition was aimed at gaining direct access to a significant portfolio of renewable assets, complementing TotalEnergies’ broader goal of increasing its renewable energy capacity globally.
The recent developments come amid heightened scrutiny of the Adani Group, led by billionaire Gautam Adani, who has faced allegations of bribery and fraud related to a $750 million bond issuance.
The U.S. Securities and Exchange Commission (SEC) has summoned Adani for questioning regarding these allegations.
TotalEnergies remains committed to transparency and legal compliance as it navigates this complex situation, ensuring that its operations align with ethical standards and regulatory requirements.