Gautam Adani dismisses PM Modi’s connection to his rise as a “baseless allegation.”
Gautam Adani stated on television that he became an “easy target” because he and Prime Minister Modi are both from Gujarat
Gautam Adani the chairman of Adani Groups and a multi-millionaire, has denied any involvement with Prime Minister Narendra Modi in his rise to become Asia’s richest person, a position he lost following a stunning stock collapse. He called the allegations “baseless,” adding that the fact that he and the Prime Minister are from the same state makes him an “easy target” for such accusations.
“These allegations are baseless…
“The truth is that my professional success is not due to any individual leader,” Adani said in a television interview.
The company’s ten stocks all dropped in early Mumbai trading, wiping off $120 billion, or more than half of their total worth since a US-based short seller claimed last week that offshore shell corporations were used to inflate Adani group profits and influence stock prices. Adani Enterprises Ltd. fell as much as 25%, bringing its decline to 66% in seven trading sessions.
The ongoing slide reflects fears over Adani’s access to the capital following the tycoon’s cancellation of a significant stock offering this week, as well as long-held concerns about the group’s debt load being thrust onto the global scene by Hindenburg.
The beleaguered tycoon is in talks with creditors to pay back some loans secured by pledged shares after several banks stopped accepting the group’s stocks as collateral in client deals.
The ongoing slump reflects concerns about Adani’s access to funding, following the tycoon’s cancellation of a key stock offering this week, as well as long-held concerns about the group’s debt load, which was propelled into the global stage by Hindenburg. The beleaguered tycoon is in talks with creditors to prepay some loans secured by pledged shares after some banks stopped accepting the group’s securities as collateral in client trades.
“All the parties have taken a stand that this wastage of LIC’s money and of money taken as loan from SBI and possibly many other such financial firms where the hard-earned money of the common people has been deposited, be investigated either by a joint parliamentary committee or a Supreme Court probe with day-to-day updates,” Congress president Mallikarjun Kharge said earlier.
