Global organizations call for swift resolution of Adani coal import cases
At least 21 global organizations have urged the Supreme Court of India to expedite the resolution of pending cases against Adani Group firms for allegedly overvaluing coal imports. The appeal follows a report by the London-based Financial Times, which cited documents from the Organized Crime and Corruption Reporting Project (OCCRP), suggesting that Adani Group had sold low-grade coal as high-value fuel in 2013.
In their letter to Chief Justice DY Chandrachud, the organizations emphasized the need for a thorough investigation and accountability in such cases. They stated their firm stance against the continued use of fossil fuels and highlighted the importance of addressing environmental concerns associated with coal imports.
The letter comes at a time when the Supreme Court is already reviewing the Directorate of Revenue Intelligence’s request to resume investigations into the alleged overvaluation of coal imports by Adani Group companies between 2011 and 2015. The Directorate of Revenue Intelligence had initiated a probe against a few Adani Group companies in March 2016 for allegedly overvaluing coal imports from Indonesia.
Adani Group has vehemently denied all allegations, stating that the quality of the coal was independently tested at the point of loading and discharge, as well as by customs authorities and Tamil Nadu Generation and Distribution Company (TANGEDCO) officials. The group emphasized that the payment for the coal supply is dependent on its quality, which is determined through a rigorous testing process. Adani Group’s spokesperson described the allegations as baseless, unfair, and absurd, pointing out that the tests for the quality of the consignment in question had yielded results within permissible limits.
The report by the Financial Times has been cited by opposition leaders, including former Congress chief Rahul Gandhi, to demand a joint parliamentary committee probe into the alleged wrongdoing. The Adani Group, however, remains steadfast in its denial of the allegations, stating that the vessel cited in the report to have carried the coal in December 2013 had not been used for shipping coal from Indonesia before February 2014.
In response to the allegations, Adani Group has reiterated its commitment to upholding the highest standards of integrity and compliance in its business operations. The group has stated that it will cooperate fully with the authorities in their investigations and has expressed confidence in the legal process to vindicate its position.
The Supreme Court’s decision on the matter is eagerly awaited, as it is expected to have far-reaching implications for the Adani Group and the broader coal import industry in India. The case highlights the growing scrutiny of corporate practices, especially in sectors with significant environmental and social impact.
The call by international organizations for a swift resolution of the Adani coal import cases underscores the global concern over environmental sustainability and corporate accountability. The outcome of this case could set a precedent for how similar cases are dealt with in the future, shaping the conduct of businesses in the energy sector and beyond.
