U.S. regulators have sought court approval for a settlement in their civil lawsuit against billionaire Gautam Adani and his nephew Sagar Adani. The Securities and Exchange Commission (SEC) had alleged the two men misled investors as part of a bribery and fraud scheme tied to solar contracts in India.
Under the settlement, Gautam Adani will pay a $6 million penalty, while Sagar Adani will pay $12 million.
The two men accused have consented to “entry of the final judgment without admitting or denying the allegations made in the civil complaint,” and payment of penalties, Indian renewable energy firm Adani Green said in a filing to the Indian stock exchanges. The company added that it is not part of these proceedings and “no charges have been brought against it.”
READ: Adani aims to create the world’s largest integrated data center by 2035 (February 17, 2026)
The U.S. Justice Department will also likely drop the criminal fraud charges against Adani, according to multiple media reports.
The SEC first brought charges against the Adanis in November 2024, accusing them of breaching U.S. securities laws by allegedly engineering a scheme that involved paying, or offering to pay, hundreds of millions of dollars in bribes to Indian government officials. The agency claims the actions were meant to benefit Adani Green Energy, where both Gautam and Sagar Adani hold executive and board positions. Both men are based in India, and the SEC has previously said it faced challenges in formally delivering legal notices to them.
The Adani Group has denied the allegations made by U.S. authorities, calling them “baseless.” Last month, Adani’s legal team, led by Robert J. Giuffra Jr., argued that prosecutors lacked “basic evidence,” according to a report by the New York Times on Thursday.
READ: SEC moves ahead with civil fraud case against Gautam Adani (January 31, 2026)
The NYT report also states that the billionaire had offered to invest $10 billion in the U.S. economy and create 15,000 jobs, the report added. Earlier this month, he SEC sought permission from U.S. District Judge Nicholas Garaufis in Brooklyn to serve a legal summons on Adani after India’s Law and Justice ministry twice refused to deliver it last year.
Shares of Adani Enterprises and Adani Green Energy pared early losses after reports of the settlement emerged. However, both stocks remain above their 52-week highs, according to LSEG data. Shares of Adani Enterprises are up roughly 24% this year, while Adani Green is up around 41%.