The Department of Legal Affairs (DLA) under the Law Ministry forwarded a summons notice from the U.S. Securities and Exchange Commission (SEC) to the Sessions Court in Ahmedabad. This was to serve the summons to Mr. Adani at his Ahmedabad address.
The Ministry of Law and Justice of India confirmed that it took action last month under the Hague Convention to serve a legal notice to Gautam Adani, Chairman of the Adani Group, in connection with an ongoing U.S. lawsuit.
Service of Summons Through the Hague Convention
The Department of Legal Affairs (DLA) under the Law Ministry forwarded a summons notice from the U.S. Securities and Exchange Commission (SEC) to the Sessions Court in Ahmedabad. This was to serve the summons to Mr. Adani at his Ahmedabad address.
According to an internal note from the government provided to source, “Under consideration is a request for service of summons received from the Central Authority USA, under the Hague Convention for Service of Judicial and Extrajudicial Documents in Civil and Commercial Matters, 1965.”
The note further stated, “The documents have been checked and found to be in consonance with the Hague Convention. We may, if approved, forward the documents to the District & Sessions Court, Ahmedabad, Gujarat for effecting service upon the respondent.”
The letter to the sessions court is dated February 25. The Hague Convention enables signatory countries to directly request assistance from each other’s agencies for serving legal documents to individuals residing in the other country.
Details of the SEC Lawsuit
The SEC, in collaboration with federal prosecutors in the Eastern District of New York, has filed a lawsuit against Mr. Adani and his nephew, Sagar Adani. The lawsuit pertains to their roles as executives of Adani Green Ltd.
They are accused of “concealing from American investors the equivalent of hundreds of millions of dollars in bribes to Indian government officials to secure their commitment to purchase energy at above-market rates that would benefit Adani Green and Azure Power,” a solar energy plant operator.
The case is ongoing at the U.S. District Court for the Eastern District of New York.
Earlier, the DLA had declined to confirm whether it had received and forwarded the summons request. This was in response to a Right to Information (RTI) application filed by The Hindu on February 19. The DLA responded on March 3, stating that as of February 21, it “had not received any such request.” However, it was later revealed that the summons had already been forwarded to the Gujarat court by February 25.
The lawsuit has caused significant uncertainty for the Adani Group. However, the company remains hopeful that the new U.S. administration under President Donald Trump, which “has paused all enforcement of the Foreign Corrupt Practices Act, 1977,” might slow down legal proceedings against Mr. Adani.
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The Financial Times recently reported that the Adani Group “has resumed scouting for business opportunities in the US.”
It remains unclear whether the Adani case was discussed during bilateral meetings between India and the United States.
When asked by a reporter during his February visit to Washington, D.C., if the case was discussed, Prime Minister Narendra Modi replied, “personal matters are not discussed when world leaders meet.”
Previously, The SEC has made a formal request for assistance from Indian authorities under Article 5(a) of the convention and is awaiting further action from India’s Ministry of Law and Justice and the Central Authority.
As the defendants are based in India, the SEC must follow Rule 4(f) of the Federal Rules of Civil Procedure (FRCP), which governs service of legal documents in foreign jurisdictions. FRCP 4(f) does not impose a specific time limit for service and permits service through internationally recognized methods, including the Hague Service Convention.
The SEC has contacted the defendants or their known legal representatives, sending Notices of Lawsuit and Requests for Waiver of Service of Summons, along with copies of the complaint. Additionally, under Article 5(a) of the Hague Service Convention, the SEC has sought assistance from India’s Ministry of Law and Justice, the country’s Central Authority for the convention. The service process remains ongoing, and the SEC has committed to keeping the court updated on its progress.
In November 2024, the SEC also charged Gautam Adani, Sagar Adani, and Cyril Cabanes, an executive at Azure Power Global Ltd., in connection with an extensive bribery scheme. The U.S. Attorney’s Office for the Eastern District of New York has unsealed criminal charges against them and other individuals linked to Adani Green and Azure Power.
ALSO READ: Adani Group Led by Gautam Adani Appoints Top US Law Firms for Indictment Case Defence
The U.S. Department of Justice (DOJ) has indicted Gautam Adani, alleging his involvement in a long-running scheme to pay $250 million in bribes to Indian officials to secure favorable solar power contracts.
The Adani Group has dismissed the allegations by the DOJ and SEC as “baseless”, firmly denying any wrongdoing.
“These allegations against the directors of Adani Green are without merit and are strongly refuted,” an Adani Group spokesperson stated.
The company emphasized that under U.S. law, “The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.”
Reaffirming its commitment to legal compliance, the group stated that it adheres to the highest standards of governance, transparency, and regulatory compliance across all jurisdictions. It further assured stakeholders that all legal avenues will be pursued to challenge the charges.
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