The Securities and Exchange Board of India (SEBI) has settled adjudication proceedings against five Adani Group companies for ₹1.51 crore over alleged violations linked to related-party transaction disclosures, corporate governance and audit-report requirements highlighted in its examination of Hindenburg Research allegations. According to the latest SEBI settlement order issued on September 22, 2026, the proceedings were initiated following SEBI's review of multiple Adani Group companies following the Hindenburg Research report, which raised allegations regarding related-party transactions, corporate governance, and potential listing violations. The agreement covers Adani Enterprises Ltd (AEL), Adani Total Gas Ltd, AWL Agri Business Ltd, Adani Green Energy Ltd, and Adani Energy Solutions Ltd, with the companies choosing to settle the proceedings 'without admitting or denying' the allegations. As reported by The Hindu BusinessLine, the settlement comes a year after SEBI dismissed separate allegations concerning certain transactions involving Adani group entities, while other proceedings arising from the Hindenburg-related examination have been dealt with separately.
The settlement amounts were distributed across the five companies as follows: ₹76.05 lakh for Adani Enterprises, ₹45.50 lakh for Adani Green Energy, and ₹9.75 lakh each for Adani Total Gas, AWL Agri Business and Adani Energy Solutions. As reported by The Hindu BusinessLine, the proceedings covered limited-review reports for different financial years and quarters between 2015 and 2021. The five companies covered by the settlement are Adani Enterprises, Adani Total Gas, AWL Agri Business (formerly Adani Wilmar), Adani Green Energy, and Adani Energy Solutions (formerly Adani Transmission). The companies proposed settlement in the pending adjudication proceedings in 2024, with SEBI's High Powered Advisory Committee recommending revised terms in June 2026 and the Panel of Whole Time Members accepting them in August 2026.
According to the latest settlement order, Adani Enterprises faced allegations relating to failure to report related-party transactions between its subsidiary Adani Estates Pvt Ltd and Vakoder Investment Ltd in its FY13 annual report, violating applicable accounting standards. The regulator also alleged that certain audit and limited-review reports of the companies had been signed by Dharmesh Parikh & Co LLP or Shah Dhandharia & Co LLP without a valid peer review certificate. For AEL, SEBI's show-cause notice alleged that RPTs between Adani Estates, a subsidiary of AEL, and Vakoder Investment, a related party, were not disclosed in the company's FY13 annual report as required under the applicable accounting standard. The notice also alleged that AEL's audit report for FY15 and limited review report for the June 2015 quarter were signed by Dharmesh Parikh & Co LLP without a valid Peer Review Certificate. Additionally, SEBI alleged that limited review reports for the June and September 2017 and December 2021 quarters were allegedly signed by Shah Dhandharia & Co LLP without a valid certificate. For Adani Green Energy Ltd (AGEL), the probe flagged its audit report for the financial year ended March 2019 and limited review reports for the quarters ended September 2018, December 2018 and June 2019, all signed by Dharmesh Parikh & Co LLP without valid peer review certificates. The proceedings also covered December 2021 limited-review reports for Adani Total Gas and AWL Agri Business, as well as Adani Energy Solutions' June 2015 report.
SEBI's High Powered Advisory Committee recommended the revised settlement terms in June 2026, which were subsequently accepted by the Panel of Whole Time Members in August 2026. As reported by The Hindu BusinessLine, the companies remitted the settlement amounts in September 2026, after which SEBI disposed of the adjudication proceedings on September 22, 2026. The examination covered seven Adani group companies, including the five that have now settled the matter. The order states that the settlement is without prejudice to SEBI's right to take enforcement action, including restoring or initiating proceedings if representations made during the settlement process are subsequently found to be untrue, settlement conditions are breached or there is a discrepancy in arriving at the settlement terms. The proceedings stemmed from a SEBI examination into allegations relating to RPT disclosures and corporate governance issues highlighted in the January 2023 Hindenburg Research report.
