The recent Financial Times report on Adani has alleged that the company has used offshore entities to hide its ownership of companies and assets, and to inflate the value of its shares.
According to the report, Adani has used a network of over 1,000 offshore entities, many of which are based in tax havens such as Mauritius and the British Virgin Islands. The report claims that these entities have been used to hide Adani's ownership of companies involved in a wide range of businesses, including coal mining, power generation, and ports.
The report also alleges that Adani has used these offshore entities to inflate the value of its shares. The report claims that Adani has done this by transferring shares in its listed companies to these offshore entities at inflated prices. This has had the effect of increasing the market capitalization of Adani's listed companies, without any corresponding increase in the underlying value of the businesses.
The report has been met with a strong denial from Adani. The company has said that the report is based on "false and baseless allegations" and that it is "committed to the highest standards of corporate governance and transparency."
The allegations in the Financial Times report are serious, if true, they could have a significant impact on Adani and its businesses. The company could face regulatory investigations and sanctions, and its share price could collapse. The allegations could also damage Adani's reputation and make it more difficult for the company to raise money in the future.
The Financial Times report is still under investigation, and it is too early to say whether the allegations against Adani are true. However, the report has raised serious questions about the company's corporate governance and financial practices.
Other reports on Adani
Here are 5 other reports on Adani:
Hindenburg Research (January 2023): This report alleged that Adani Group has engaged in "brazen stock manipulation and accounting fraud scheme over the course of decades." The report also claimed that Adani Group has "substantial debt" and that its shares are "overvalued."
OCCRP (August 2023): This report alleged that Adani Group has used "opaque" funds to invest in its own stocks. The report also claimed that Adani Group has used offshore entities to hide its ownership of companies and assets.
Bloomberg (August 2023): This report alleged that Adani Group has been "misleading investors about its financial health." The report also claimed that Adani Group has been "using accounting loopholes to boost its profits."
The Guardian (September 2023): This report alleged that Adani Group has been "looting India's resources." The report also claimed that Adani Group has been "causing environmental damage" through its businesses.
Reuters (October 2023): This report alleged that Adani Group has been "pressuring Indian regulators to turn a blind eye to its wrongdoings." The report also claimed that Adani Group has been "using its political connections to influence government policy."
These are just a few of the many reports that have been published on Adani Group in recent years. These reports have raised serious allegations about the company's corporate governance, financial practices, and environmental impact.
It is important to note that Adani Group has denied all of these allegations. The company has said that the reports are "baseless" and "defamatory." However, the allegations have raised serious concerns about the company and its businesses.