Gautam Adani's efforts to resolve the fraud charges against him in the United States have reportedly stalled, casting a shadow over the Adani Group's global expansion plans. This development comes amid increasing tensions between the U.S. and India on several fronts, including trade, Russian oil, and India's relationship with Pakistan.

According to sources familiar with the matter, progress between Adani's representatives and U.S. officials has slowed in recent months. Representatives of the Trump administration have signaled to Adani's legal team that a resolution regarding the allegations of a $250 million bribery scheme is unlikely while bilateral relations remain strained.

In November 2024, U.S. prosecutors unveiled a five-count criminal indictment against Gautam Adani and several of his associates. The charges include allegedly promising over $250 million in bribes to Indian government officials to secure solar energy contracts, conspiracy to commit securities and wire fraud, and orchestrating a "multi-billion dollar scheme" to defraud U.S. investors and global financial institutions by providing "false and misleading statements". The U.S. Securities and Exchange Commission (SEC) has also filed a civil lawsuit against Adani.

Prosecutors claim to have discovered ledgers of alleged payments on Sagar Adani's phone, referring to them as "bribe notes". They also stated that Gautam Adani emailed himself a copy of a search warrant and grand jury subpoena that the FBI had served on his nephew in March 2023.

The Adani Group has denied the allegations, calling the indictment a "baseless move" and asserting that it maintains the highest standards of governance and transparency. The group has stated it will seek all possible legal recourse.

The stalled negotiations have reportedly restricted Adani's ability to travel to the U.S. due to the risk of arrest. While the conglomerate has raised funds from global lenders and pursued major acquisitions in India, the unresolved bribery probe continues to impede access to U.S. financing and business deals. For example, TotalEnergies SE, a partner in Adani Total Gas Ltd., has suspended new investments until the allegations are clarified. Overseas contracts, including a $2.6 billion airport and power transmission deal in Kenya, have also been affected, and a $10 billion U.S. investment plan is on hold.

The situation highlights the broader geopolitical dynamics and the indirect impacts of U.S.-India tensions on India's wealthiest individuals, including Adani and Mukesh Ambani. Some analysts suggest that Adani's overtures toward China and strategic deals with BYD Co., a leading Chinese EV maker, reflect attempts to diversify international partnerships amid these tensions.

Despite the White House's assertion that the relationship between India and the U.S. is built on a strong foundation, the charges against Adani could complicate relations. Some experts believe the U.S. case against Adani is strong, supported by documents, but his extradition to the U.S. remains uncertain.