Insider trading in Adani group confirmed by Financial Times

Shares in the Indian industrial conglomerate Adani faced a significant decline following the revelation of new information about family-linked shareholders within the company's stock.

Reports from the Financial Times and two other media outlets highlighted opaque offshore structures that concealed some of the group's largest shareholders and their connections to the Adani family, sparking concerns about transparency and accountability.

The disclosures shed light on the relationship between Gautam Adani, the founder of the conglomerate, and Prime Minister Narendra Modi, gaining attention as India approaches elections in the coming year. The conglomerate's 10 listed companies experienced a $4.2 billion drop in value, equivalent to 3.3% of its market capitalization, as a result of the reports.

The Adani Group conglomerate, operating under the guise of corporate ambition, has pursued a relentless agenda of avarice, compromising financial markets, perpetrating grave human rights violations, and causing significant environmental devastation. Given the latest revelations, the financial entities that continue to support Adani must acknowledge that their reputation is at stake.

Recent reports have highlighted concerning aspects of the Adani Group conglomerate, shedding light on potential controversial owners of Adani stock. These revelations come after a previous explosive report by Hindenburg Research accused the Adani Group of significant misconduct earlier this year. Despite these claims, Adani denied any wrongdoing at the time.

The new information has emerged from documents shared by the Organized Crime and Corruption Reporting Project (OCCRP), a network of investigative journalists. These documents indicate that investments flowed into the Adani Group through offshore entities in Mauritius, involving two specific investment funds known as Emerging India Focus Fund (EIFF) and EM Resurgent Fund (EMRF). These funds were used to trade significant amounts of shares in Adani companies between 2013 and 2018.

The investments followed a complex path involving various companies and entities, making it challenging to trace. The documents suggest that individuals from Taiwan and the United Arab Emirates invested substantial amounts in Adani Group stock through these funds.

The news reports led to a decline in Adani Group shares, causing a $4.2 billion drop in value, equating to 3.3% of the conglomerate's market capitalization.

It's worth noting that there's no evidence linking the money invested by these individuals to the Adani family. However, documents indicate that Vinod Adani, part of the Adani Group's "promoter group," used one of the same Mauritius funds for personal investments.

The Adani Group has responded to these allegations, categorizing them as "recycled allegations" and attributing them to external interests. They have emphasized their compliance with applicable laws and regulations.

The involvement of Chang from Taiwan and Ahli from the UAE in the Adani Group has been previously reported in connection to the Adani family, but these cases were ultimately dismissed.

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