Congress questions government after Kenya cancels deals with Adani Group

In a post on X, Congress leader Jairam Ramesh said that the cancellation of the deal was expected and that nation's foreign policy cannot be "subordinated" to the interests of just one "business conglomerate." .

"It was expected to happen and it has today. Kenya has cancelled the airport and power transmission deals of the Modani Group. The non-biological PM's long-standing relationship with the Adani Group is globally well-known - and poses a tremendous risk for India's foreign policy and economic interests overseas. Remember, former Kenyan PM Railo Odinga - who is under attack for favouritism to the Adani Group - admitted that he was introduced to the businessman over a decade ago by the-then CM of Gujarat, who also lobbied aggressively for the A Group," Jairam Ramesh posted on X.

The Congress leader said High Court in Dhaka yesterday ordered an inquiry into Bangladesh's "controversial" power purchase agreement with Adani.

"Modani's sweetheart deals just bring us disrepute. This is a foreign policy disaster which will cloud our soft power for years to come," he said.

Congress leader and former CM Bhupesh Baghel supported the demand for JPC over the alleged bribery allegations in the US which have been denied by the Adani Group.

"I support demand for JPC. There is no matter relating to my tenure as CM between 2020-2023. If there was any deal between the new govt in the state and Adani, then I don't know about it...Korba Waste Power Plant, Raigarh, GMR Power Plant, Raipur and Lenco Power Plant, Korba were given to Adani Group by the Centre and due to this banks had to suffer losses. The agreement with Chhattisgarh Electricity Board was done during the tenure of Raman Singh. Sambit Patra (BJP MP) is making allegations against his own government," Baghel said.

Kenya government on Thursday decided not to proceed with airport expansion project with the Adani Group, Reuters reported.

This announcement comes close on the heels of US Prosecutors indicting Gautam Adani and others in an alleged bribery case. While addressing the nation during a joint sitting of the parliament, Kenyan President William Ruto directed the procurement agencies within the transport and energy ministries to immediately cancel the ongoing procurement process for the expansion of the Jomo Kenyatta International Airport in Nairobi and Kenya Electricity Transmission Company (KETRACO) deals and immediately commence the process of onboarding other partners.

"I now direct according to article 10 of constitution on transparency and accountability and based on new information provided by investigative agencies and partner nations that the procuring agencies under the Ministry of Transport and the Ministry of Energy are immediately cancelled for the procurement process of JKIA expansion as well as the recently concluded KETRACO deals," said Ruto as the Kenyan House broke into loud cheers.

Under the proposed deal to expand the Nairobi airport, the Adani group was to add a second runway and upgrade the passenger terminal. In September, a Kenyan court temporarily blocked a proposed airport lease deal.

In a separate deal, the Adani group had also signed a PPP deal with the Energy Ministry to construct Power transmission lines. Both the projects now stand cancelled.

Reuters quoted Energy Minister Opiyo Wandayi as saying that there was no bribery or corruption involved in the award of the transmission lines contract.

Earlier, the Adani Group strongly refuted bribery allegations made by the US Department of Justice and the US Securities and Exchange Commission against directors of the Adani Green terming them baseless.

Adani Group spokesperson, in an official statement, said all legal recourse will be taken. "The US Department of Justice and the US Securities and Exchange Commission against directors of Adani Green are baseless and denied," the statement read.

The group further highlighted a key aspect of the legal proceedings.

"As stated by the US Department of Justice itself, 'The charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty.' All possible legal recourse will be sought," the statement said.

Amid these allegations, Adani Green Energy also informed stock exchanges that its subsidiaries have decided to defer their planned US dollar-denominated bond offerings.

It said, "In light of these developments, our subsidiaries have presently decided not to proceed with the proposed USD-denominated bond offerings".

US prosecutors had charged Gautam Adani and others in an alleged Solar Energy contract bribery case. A five-count criminal indictment has been unsealed in the United States District Court for the Eastern District of New York, charging a few prominent Indian executives including the Chairman of the Adani Group Gautam Adani by linking them to an alleged bribery and fraud scheme. (ANI)