TotalEnergies SE on Monday said it will not make any new financial contribution as part of its investments in Adani group companies after Gautam Adani and his nephew Sagar Adani were accused of allegedly orchestrating a bribe to secure solar power supply contracts.

The French energy giant said that its investments in the group will only begin after Gautam Adani is cleared of all the charges.

Its announcement led to the shares of Adani Green Energy Ltd (AGEL) crashing 8.05 per cent at the BSE on Monday. TotalEnergies holds a 19.75 per cent stake in AGEL.

It also has a 50 per cent stake in three joint venture companies with AGEL in renewable energy.

In addition, the company holds a 37.4 per cent stake in Adani Total Gas Ltd (ATGL). The ATGL share finished 1.43 per cent lower at ₹600.75 on the BSE.

TotalEnergies said it learnt of the US authorities indicting Gautam Adani and two other executives for allegedly paying $265 million bribes to Indian officials to secure solar power supply contracts for AEGL.

“In particular, TotalEnergies was not made aware of the existence of an investigation into the alleged corruption scheme,” the company disclosed.

“This indictment does not target AGEL itself, nor any AGEL-related companies… Until such time when the accusations against the Adani group individuals and their consequences have been clarified, TotalEnergies will not make any new financial contribution as part of its investments in the Adani group of companies.”

“In accordance with its code of conduct, TotalEnergies rejects corruption in any form,” it said.

Meanwhile, a Bangladesh government-appointed committee examining power generation contracts, including one with India’s Adani Power, has urged the interim government to hire a global legal firm. This will ensure a thorough investigation into deals under former prime minister Sheikh Hasina’s regime, according to Reuters.

APSEZ project

The Development Finance Corporation (DFC) of the US, which has committed a $553 million loan to an Adani Group-led container terminal project in the Port of Colombo, is reviewing its position in the wake of bribery charges levelled by the US Department of Justice (DoJ) against one of the Adani firms and its founder and chairman Gautam Adani.

Adani Ports and Special Economic Zone holds a 51 per cent stake in Colombo West International Terminal (Pvt) Ltd, where John Kells and Sri Lanka Port Authority are 34 per cent and 15 per cent stakeholders.

In November 2023, DFC agreed to extend the loan to advance economic growth and development of Sri Lanka, which is one of the world’s key transit hubs, with half of all container ships moving through its waters.

The west container terminal, which is expected to be operational by the fourth quarter of this fiscal, was given to an APSEZ-led consortium on a build-operate-transfer basis for 35 years. The terminal is designed to handle ultra-large container vessels and is strategically important to India’s maritime sector.

DFC is yet to disburse any fund for the project. The loan assistance to the private company was designed not to increase the sovereign debt of Sri Lanka, which is going through economic hardship.

DFC is yet to disburse any funds for the project.

The loan assistance to the private company was designed not to increase the sovereign debt of Sri Lanka, which is going through economic hardship, while helping finance high-quality infrastructure projects.

With inputs from our Calcutta bureau