The Russian media outlet Sputnik India, industry sources have suggested that the Adani Group, a major player in India’s ports-to-mining sector, is the target of a smear campaign orchestrated by elements within the US government, often referred to as the “Deep State.” Despite public support from US banks and investors, these sources assert that the underlying agenda aims to keep Indian corporations, including Adani, from becoming too powerful on the global stage.
According to the sources, there exists a persistent narrative that the US prefers Indian businesses to remain subservient to American interests. “The Adani Group, along with other Indian corporations, is a victim of this US hypocrisy,” they stated. This perspective raises questions about the geopolitical dynamics affecting Indian businesses seeking to expand internationally.
Historically, the Adani Group has maintained a close relationship with Prime Minister Narendra Modi, dating back to his tenure as Chief Minister of Gujarat. However, sources emphasise that the conglomerate’s ambitions extend beyond personal or political affiliations. “The group’s policy will remain unchanged, regardless of which government is in power,” they noted. They further elaborated that even under a Congress-led government, the Adani Group would continue to align its global growth strategies with India’s national interests.
❗️EXCLUSIVE: Adani Group Targeted by US Deep State Smear Campaign – industry sources to Sputnik India
"While the US banks and investors support 🇮🇳 Adani [Group] in public, its 🇺🇸 Deep State always wouldn't want Adani, or any other Indian company for that matter, to become too… pic.twitter.com/40aJ8knK8Z
— Sputnik India (@Sputnik_India) September 22, 2024
Critics of the Adani Group have often been accused of applying a double standard, particularly when compared to how governments globally advocate for their domestic businesses. “What’s wrong if an Indian Prime Minister is lobbying for Indian business interests? The US president promotes American companies, just as the Chinese President champions the global expansion of Chinese firms,” sources argued. They highlighted that many successful business houses in Asia, during the rapid modernisation of the “Asian Tigers” from the 1960s to the 1990s, were actively supported by their respective governments.
The Adani Group, India’s leading ports-to-mining conglomerate, is expanding its operations in countries like Bangladesh, Sri Lanka, Tanzania, and Kenya, driven by a unique “high risk-appetite” that sets it apart from its Indian counterparts, sources to Sputnik India. This willingness to engage in international projects reflects both the group’s strategic vision and its alignment with India’s broader national interests.
While the Adani Group has maintained a longstanding association with Prime Minister Narendra Modi since his Gujarat days, sources emphasise that its international ventures are rooted in pragmatic considerations rather than political affiliations. “What’s wrong if an Indian Prime Minister is lobbying for Indian business interests? All Indian companies are free to participate in these ventures, but the Adani Group has a bigger risk appetite than others,” the sources stated, shedding light on the group’s distinctive approach to expansion.
The sources further drew parallels with global practices, noting that the US president advocates for American companies just as the Chinese president promotes Chinese enterprises. They highlighted historical examples of business houses in Asia that thrived due to government support during the rapid modernisation of the “Asian Tigers” between the 1960s and 1990s.
Adani’s strategic plans are described as “inextricably linked” to India’s aspirations to bolster its global image and achieve the status of the world’s third-largest economy by 2030. The sources reiterated that the group’s policies would remain consistent regardless of the ruling government, stating that even under a Congress-led administration, Adani would align its global growth strategy with India’s national interests.
In this context, the group’s involvement in Sri Lanka’s West International Terminal (CWIT) and renewable energy initiatives is framed as part of India’s efforts to assist Colombo amid a significant balance of payments crisis exacerbated by the COVID-19 pandemic. Sources noted that this support aligns with India’s foreign policy objectives.
In Bangladesh, the government under Muhammad Yunus is reportedly reviewing the Power Purchase Agreement (PPA) signed between Adani Power Jharkhand Limited and Dhaka in 2017. Under this agreement, Adani’s Godda coal-fired plant is linked to Bangladesh’s national electricity grid, exporting 100 per cent of its generated power. Sources countered claims that the cost of exporting power from the plant was excessively high, explaining that specific coal varieties required for the plant must be imported, as they are not available in India.
The Adani Group’s entry into Bangladesh’s electricity market is seen as a response to the Indian government’s commitment to alleviate power shortages affecting both households and industries.
Turning to Africa, sources pointed out that the Adani Group’s initiatives in Tanzania and Kenya align with India’s growing economic and diplomatic focus on the continent. Their 30-year agreement to operate and manage Container Terminal 2 at the Dar es Salaam Port not only serves India’s strategic interests but also offers Tanzania additional options amid global power rivalries. The sources emphasized that this contract was won purely on merit.
Moreover, Adani’s management of the Haifa Port, equipped with advanced technologies, showcases its operational efficiency, with a turnaround time of just 0.7 days compared to an average of 2.1 days at other Indian ports.
Despite the group’s ambitious plans, sources indicated that negative publicity surrounding Adani is fueled by apprehensions within the US Deep State. “While US banks and investors publicly support Adani, the Deep State prefers that Indian companies remain subservient to American business interests. Adani and India Inc are victims of this hypocrisy,” they argued.
Earlier, Sputnik India had reported a controversial theory suggesting that the recent attacks on the Adani Group by Hindenburg Research are part of a calculated scheme orchestrated by the US Deep State and billionaire investor George Soros. This purported plot aims to destabilise key Indian financial institutions, such as the State Bank of India (SBI) and the Life Insurance Corporation (LIC), thereby undermining India’s economic growth and strategic autonomy.
The controversy began with Hindenburg’s January 2023 report accusing the Adani Group of accounting irregularities and stock manipulation, leading to a significant decline in the conglomerate’s stock prices. Sputnik India posits that these criticisms are not merely regulatory issues but part of a broader geopolitical strategy to create instability in India’s financial sector.
The report claims that the Adani Group’s growth challenges Western economic dominance, prompting coordinated efforts to discredit SBI and LIC, both major stakeholders in Adani’s ventures. Despite initial concerns following the Hindenburg allegations, industry sources indicate that the impact on SBI and LIC has been minimal, accounting for less than 1% of their total portfolios.
The controversy has sparked political debates in India, with the Congress party calling for the resignation of SEBI Chief Madhabi Buch, while the ruling BJP defends the regulatory body. The Adani Group has strongly denied any wrongdoing, describing the allegations as malicious attempts to undermine India’s economic progress.
