Legal Scrutiny
Indian billionaire Gautam Adani’s conglomerate is under fresh scrutiny from U.S. authorities over allegations that his companies may have imported Iranian liquefied petroleum gas (LPG) into India in violation of U.S. sanctions, according to a report by The Wall Street Journal (WSJ) published on Monday.
The report claims that the U.S. Department of Justice (DOJ) is investigating whether Adani’s firms were involved in the transfer of Iranian-origin LPG through their Mundra port, located in the western Indian state of Gujarat.
Citing unnamed individuals familiar with the matter, the WSJ revealed that U.S. prosecutors are examining the activities of several tankers suspected of shipping LPG to Adani Enterprises.
A key component of the investigation is based on patterns of maritime behavior. The WSJ’s own inquiry found that several tankers making trips between the Persian Gulf and Mundra displayed signs often associated with sanctions evasion.
These include switching off tracking transponders and ship-to-ship transfers in international waters—methods that are commonly used to conceal the origin of cargo.
In response to the allegations, a spokesperson for the Adani Group strongly denied any wrongdoing. “Adani categorically denies any deliberate engagement in sanctions evasion or trade involving Iranian-origin LPG,” the spokesperson said in a statement to the WSJ. “Further, we are not aware of any investigation by U.S. authorities on this subject.”
At the time of reporting, neither the Adani Group, the U.S. Department of Justice, nor the U.S. Attorney’s Office in Brooklyn had responded to Reuters’ request for comment.
This potential investigation comes months after U.S. prosecutors previously indicted Gautam Adani and his nephew, Sagar Adani, in a separate case. That case involved accusations of bribery to secure power supply contracts and misleading U.S. investors during fundraising campaigns.
The Adani Group has dismissed those allegations as “baseless” and vowed to pursue every possible legal avenue to defend its position.
The developments unfold amid a broader context of strict U.S. sanctions on Iran. In May, U.S. President Donald Trump reaffirmed that any country or individual purchasing Iranian oil or petrochemical products would be exposed to secondary sanctions. If proven, the alleged transactions could have significant legal and diplomatic ramifications for both the Adani Group and the Indian government.
