Winning Bizness Desk

Mumbai.The Adani Group has formally accepted a legal notice issued by a US court in a civil fraud case filed by the Securities and Exchange Commission, nearly 15 months after the proceedings began. According to documents filed in a New York court, billionaire industrialist Gautam Adani and his nephew Sagar Adani have agreed to receive the regulator’s papers through their lawyers. With this step, a key procedural hurdle has been cleared, and the Adani Group will now have 90 days to submit its response in the case linked to Adani Green Energy Limited and alleged misleading of investors.

Notice accepted through lawyers

Court filings in the Brooklyn federal court show that Adani’s legal team has signed a consent agreement with the SEC, confirming acceptance of the notice. Earlier, the regulator had told the court that Adani was based in India and could not be served papers easily. The SEC had sought permission to deliver the notice via email or alternative means. With the lawyers now accepting service, the court no longer needs to rule on how the notice should be delivered.

Background of the SEC case

The case dates back to November 2024, when the SEC filed a civil fraud lawsuit related to Adani Green Energy Limited. The US regulator alleged that the company misled American investors while raising funds. The acceptance of the notice does not amount to an admission of wrongdoing but formally brings the Adani Group into the legal process, triggering fixed timelines for the next stages of the case.

Adani group calls it legal process

In a disclosure to stock exchanges, Adani Green Energy stated that the acceptance of the notice is purely a procedural step. The company clarified that agreeing to receive the papers does not mean accepting the jurisdiction of the New York court. The group said it has reserved all its rights and plans to seek dismissal of the case at an appropriate stage.

What the court timeline looks like

As per the schedule shared with the court, the legal process will now move forward in a structured manner:

• 90 days for the Adani Group to file its defence or move a plea to dismiss the case
• 60 days for the SEC to respond to Adani’s submission
• 45 days for the Adani Group to reply to the SEC’s arguments

This timeline sets the stage for detailed legal arguments from both sides over the coming months.

Bribery and misleading investors allegations

The SEC has accused Adani Green Energy of providing incorrect or misleading information to US investors during fundraising exercises. Separately, US prosecutors have also alleged, in a different criminal case, that there was a conspiracy to pay bribes worth 265 million dollars, around Rs 2,429 crore, to secure solar power contracts in India. The Adani Group has strongly denied all allegations, calling them baseless and without merit.

Why refusing notice was risky

Legal experts say accepting the notice was a strategic move, as refusing it could have led to serious consequences. Had Adani continued to avoid service, the SEC could have pushed for alternative service methods, and the court’s view might have turned stricter. Key risks included:

• Damage to the group’s global image and investor confidence
• Possibility of an ex parte ruling if no response was filed
• A prolonged international legal process under the Hague Convention
• Delay of one to two years just to complete formal service of notice

By accepting the notice, the Adani Group has avoided these complications.

Trump’s former lawyer to lead defence

Gautam Adani has hired Robert Giuffra Jr, a prominent Wall Street lawyer and co-chair of the law firm Sullivan and Cromwell, to represent him. Giuffra has previously served as legal counsel to former US President Donald Trump. He informed the court about the agreement to accept service of the notice on behalf of Adani and Sagar Adani.

No direct bribery charge, says company

Adani Green Energy has reiterated that the company itself is not a party to the proceedings. It has also stated that neither Gautam Adani nor Sagar Adani faces direct bribery or corruption charges under the US Foreign Corrupt Practices Act in this civil case. The group emphasised that the matter is civil in nature, not criminal, and that its business operations will continue as usual.

Understanding service of notice

In cases filed in foreign courts, formally delivering legal notice to the defendant is the first and most crucial step. This process, known as service of notice, becomes complicated when the defendant is based in another country. International treaties like the Hague Convention are often used, making the process lengthy. By voluntarily accepting the notice through lawyers, the Adani Group has ensured that the case can now move forward without procedural delays.