Adani refutes claims of $310 million funds freeze in Swiss banks

The Adani group has denied involvement in any Swiss court proceedings or sequestration of the company’s accounts by any authority after a French media outlet in Switzerland reported that authorities had blocked $310 million in funds stowed in Swiss bank accounts.

Swiss authorities have frozen more than $310 million in funds across multiple Swiss bank accounts as part of a money laundering and securities forgery investigation into Adani, dating back as early as 2021, US-based short-seller Hindenburg Research posted on X late Thursday, citing court records reported on by Swiss media outlet Gotham City.

Prosecutors in the case established that an “Adani frontman” funneled funds through jurisdictions known for facilitating opaque financial transactions, including the British Virgin Islands, Mauritius, and Bermuda, to invest in Adani stocks, Hindenburg added.

Swiss authorities have frozen more than $310 million in funds across multiple Swiss bank accounts as part of a money laundering and securities forgery investigation into Adani, dating back as early as 2021.

Prosecutors detailed how an Adani frontman invested in opaque…

— Hindenburg Research (@HindenburgRes) September 12, 2024

Shares in Adani firms traded flat on Friday.

The group has denied the claims.

“We unequivocally reject and deny the baseless allegations presented. The Adani Group has no involvement in any Swiss court proceedings, nor have any of our company accounts been subject to sequestration by any authority,” Adani group said in a statement.

“Even in the alleged order, the Swiss court has neither mentioned our group companies, nor have we received any requests for clarification or information from any such authority or regulatory body. We reiterate that our overseas holding structure is transparent, fully disclosed, and compliant with all relevant laws,” the statement said.

“These allegations are clearly preposterous, irrational, and absurd. We have no hesitation in stating that this is yet another orchestrated and egregious attempt by the same cohorts acting in unison to inflict irreversible damage on our group’s reputation and market value. The Adani Group remains steadfastly committed to transparency and compliance with all legal and regulatory requirements,” the statement added.

The Gotham City reported that “a ruling by the federal criminal court (tribunal pénal fédéral) reveals that the Geneva public prosecutor’s office was investigating alleged embezzlement by the Indian conglomerate Adani well before the activist investors of Hindenburg Research made the first accusations.”

“More than $310 million belonging to an alleged front man for billionaire Gautam Adani is sequestered in five Swiss banks. The federal public prosecutor’s office (le ministère public de la Confédération) took over the investigation once the matter was revealed in the press,” it added.