Daccanomics
Swiss prosecutors have frozen $310 million in assets held at six Swiss banks, suspecting them to be linked to a frontman for Adani, the Indian conglomerate embroiled in allegations of fraud. The Federal Criminal Court in Switzerland revealed that an investigation into criminal activity and money laundering related to Adani has been ongoing since December 2021, predating the explosive January 2023 Hindenburg Research report accusing the conglomerate of using front men to manipulate its stock market valuation.
The probe centers on whether substantial sums were invested in Adani’s listed companies through a third party in violation of stock market regulations. The court maintained the freezing order, suspecting that these funds were used to artificially inflate the company’s value. Adani has denied any wrongdoing, calling the allegations “preposterous” and part of an orchestrated attack on its reputation.
The Swiss ruling did not name the parties involved but suggested ties to Chang Chung-Ling, a Taiwanese businessman and known associate of the Adani group. Chang has previously denied his involvement, and the group claims that its overseas holding structure is fully compliant with laws. The investigation is now under federal jurisdiction after being initiated by Geneva’s public prosecutor following a money laundering report in 2021.
This development comes amid broader scrutiny of Adani’s financial practices, with the conglomerate vehemently defending its transparency and operations.
