Modi ally says BJP has ‘nothing to hide’ amid Adani controversy

Indian Prime Minister Narendra Modi’s party has “nothing to hide or be afraid of” on the controversy over the Adani group, the home minister has said, responding to opposition allegations of favouring the conglomerate attacked by an American short seller.

Led by billionaire Gautam Adani, the business house’s seven listed companies bearing his name have together lost about $120bn in market value since a January 24 report by Hindenburg Research alleged improper use of offshore tax havens and stock manipulation. The Adani group has denied the allegations and threatened legal action against Hindenburg.

“The Supreme Court has taken cognisance of the matter. As a minister, if the Supreme Court is seized of the matter it is not right for me to comment,” Amit Shah, widely considered the most powerful politician in India after Modi, told the ANI news agency.

“But in this, there is nothing for the BJP to hide and nothing to be afraid of,” Shah added, referring to the ruling Bharatiya Janata Party (BJP).

Shares of Adani Enterprises, the group’s flagship, fell nearly 4 percent in early trade. The company, which pulled a $2.5bn share sale earlier this month after the stock rout, will announce quarterly results later in the day.

India’s Economic Times daily reported on Tuesday that Adani group executives had been holding negotiations since last week with Abu Dhabi’s International Holding Company (IHC) for capital infusion into Adani Enterprises or other group entities.

Adani and IHC did not immediately respond to requests seeking comment.