USA · 10 August, 2026 · 2 min read
U.S. Judge Nicholas Garaufis Dismisses Fraud And Bribery Charges Against Gautam Adani
DOJ abandoned fraud and bribery case; judge dismissed charges with prejudice. Gautam Adani and co-defendants' securities and wire fraud charges terminated permanently.
Whether the judge accepted the DOJ's narrow rationale while resisting broader dismissal.
2 of 3 outlets skipped it: garaufis left judgment pending on foreign bribery/obstruction charges for other defendants.
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AP7AM highlights legal 'narrow argument'; CNBC spotlights judge rebuking McCotter.
Charges dropped, judge rebuked
A U.S. judge dismissed criminal charges against Indian billionaire Gautam Adani and co-defendants in a fraud and bribery case, while saying the Justice Department’s decision to abandon the prosecution was concerning.
““The irregularities in the decision to dismiss the indictment are concerning,””
Brooklyn-based U.S. District Judge Nicholas Garaufis granted federal prosecutors’ rare bid to toss the case after inquiring into their reasons, including whether Adani’s November 2024 promise to invest $10 billion in the United States was a factor.
Reuters reported that Garaufis said he was satisfied the investment pledge did not factor into the Justice Department’s decision, but he criticized Principal Associate Deputy Attorney General Trent McCotter for collaborating with Adani’s defense lawyers without input from prosecutors or agents who investigated the case.
In a 47-page ruling, Garaufis said McCotter “eschewed the professional opinions of innumerable officials from various federal offices and replaced them with his singular judgment,” and he also called the irregularities “concerning.”
Adani welcomes, DOJ process questioned
Gautam Adani welcomed the ruling in a statement posted on X, saying, "I welcome the U.S. Court's decision with humility and deep respect for the judicial process."
CBS News said Garaufis refused to dismiss two counts against five other co-defendants, and that he said the Justice Department had failed to provide him with a sufficient reason for doing so.
In Reuters’ account of the judge’s written criticism, Garaufis said McCotter “appears to have eschewed the professional opinions of innumerable officials from various federal offices and replaced them with his singular judgment.”
The Guardian reported that Garaufis asked the Justice Department to justify its decision to drop the charges, writing that its “bland and conclusory” announcement did not give him enough information, and he also asked Adani whether he was “aware of any agreement exchanging anything for the dismissal of the indictment.”
What remains at stake
Even as the criminal case against Adani was dismissed, Reuters said Garaufis asked the Justice Department to submit more information to help him decide whether to dismiss charges against additional defendants.
“He asked the Justice Department to submit more information to help him decide whether to dismiss charges against additional defendants.”
CBS News reported that Garaufis refused to dismiss two counts against five other co-defendants, and that he said the Justice Department had failed to provide a sufficient reason for doing so.
The Guardian said the dismissal came after Garaufis inquired into whether Adani had promised to invest $10bn in the United States before the charges were unsealed in November 2024, and it described the case as a high-profile white-collar prosecution dropped during Donald Trump’s second term.
In a separate civil resolution, Reuters said Gautam Adani agreed to pay $6 million and Sagar Adani agreed to pay $12 million to the U.S. Securities and Exchange Commission, while Adani Enterprises Limited agreed to pay $275 million to the U.S. Treasury Department to settle alleged violations of Iran sanctions.