InvestorQ : Why has CBI filed a criminal case against Adani Enterprises?
NISHA Nayak made post

Why has CBI filed a criminal case against Adani Enterprises?

2 years ago

You are correct that the Central Bureau of Investigation (CBI) has filed a criminal case against Adani Enterprises. The allegation is that officials of Adani Enterprises colluded with officials of the National Cooperative Consumers’ Federation (NCCF) to unfairly win a contract for supplying coal to an Andhra Pradesh government company. The complaint has also named former NCCF chairman Virender Singh and then managing director G.P. Gupta as well as former senior adviser S.C. Singhal in the FIR filed. In the FIR, CBI has alleged that Singh and Gupta favoured Adani Enterprises for getting the contract when Andhra Pradesh GENCO floated the tender in 2010 for supply of 600,000 tonnes of coal.

Currently, there is mounting scrutiny on Adani’s Carmichael project in Australia after Greta Thunberg (the teenager global climate activist) pointed to clear environmental damage potential caused by these projects. The project is facing fresh attacks from environmentalists even as Australia suffers catastrophic bushfires that has devastated the forests and that is being blamed on the environment carelessness.

CBI alleged that Adani Enterprises used a proxy company to get the supply contract. Senior officials of NCCF had given undue favours to Adani Enterprises despite not qualifying under the tender terms. According to the CBI, the NCCF officials informed Adani Enterprises regarding their likely rejection due to non-submission of NCCF margin. They had also disclosed the tender details of other bidders, something that is not in sync with fair means off tendering and bidding.