NEW YORK  (TIP): US authorities on Friday, June 23,  said that they are investigating the representations made by the Adani Group to its American investors, in response to a report by the short seller Hindenburg Research, accusing the conglomerate of stock manipulation and accounting fraud. According to a report by Bloomberg, the US Attorney’s Office in Brooklyn, New York, has sent inquiries to institutional investors who hold significant stakes in the Adani Group, focusing on the information provided by the conglomerate to those investors.

https://www.bloomberg.com/news/articles/2023-06-22/adani-group-statements-to-investors-draw-us-regulatory-scrutiny#xj4y7vzkg

The Securities and Exchange Commission (SEC) is also conducting a similar investigation, according to sources familiar with the matter. The inquiries by US authorities come at a time when Indian Prime Minister Narendra Modi is on a state visit to US.

On Friday, Adani Group’s market capitalization fell as much as Rs 55,000 crore, its biggest single-day drop in m-cap in four months.

https://www.businesstoday.in/latest/corporate/story/major-development-hindenburg-founder-responds-to-report-of-us-authorities-probe-into-adani-group-386861-2023-06-23

The Indian Panorama,  on June 9, published an Open letter addressed to  US Congress to investigate investment by the US companies in Adani Group. The letter said, inter alia, that the investment  by the US companies was in violation of US laws and was harming the interests of America. Hence, an investigation was necessary.

https://www.theindianpanorama.news/opinion/letters/an-open-letter-to-united-states-congress/