TotalEnergies Pauses Investment in Adani Amid Corruption Allegations

French energy giant TotalEnergies has halted new investments in the Adani group following corruption charges against its founder, Gautam Adani, in the US. TotalEnergies holds significant stakes in Adani's renewable and gas ventures and is awaiting clarification on the allegations before proceeding further.

French energy giant TotalEnergies announced on Monday a suspension of new investments with the Adani group due to corruption charges faced by the conglomerate's founder, Gautam Adani, in the United States. These allegations, which detail a $265 million bribery scheme to secure solar power contracts, have prompted TotalEnergies to pause its financial involvements pending the probe's outcome.

TotalEnergies, a major investor in Adani's renewable energy pursuits, holds nearly a 20% stake in Adani Green Energy Ltd (AEGL) and a significant share in Adani Total Gas Ltd. The company emphasized its stance against corruption, clarifying it was not aware of the investigation when making its investments, and is committed to safeguarding its interests.

Meanwhile, investor GQG Partners, another key player with $8.1 billion tied to Adani firms, reaffirmed confidence in the group's business model, noting the bribery allegations target individuals rather than the companies themselves. The wider implications of these allegations continue to unfold in the financial and political arenas, with Adani maintaining that the accusations are baseless.

(With inputs from agencies.)