Asia’s richest man lost $40 billion in five days

FILE PHOTO: Indian billionaire Gautam Adani speaks during a groundbreaking ceremony after the Adani Group completed the purchase of the Port of Haifa at the Port of Haifa, Israel, January 31, 2023. REUTERS/Amir Cohen/File Photo ( AMIR COHEN/)

After the fifth straight day of losses, around $92 billion has vanished from the publicly traded companies of the tycoon’s conglomerate. Gautam Shantilal Adani60, is no longer the richest man in Asia.

Adani continues his losing streak. This Wednesday, his flagship company, Adani Enterprises, fell on the Bombay Stock Exchange, which has caused the tycoon to leave the top 10 of the great world fortunes established by the magazine Forbes. In addition, his personal fortune has melted down, losing 40 billion dollars, according to the real-time ranking of Forbes.

At the same time, the title Adani Total Gas, in which the French giant TotalEnergies has a 37.4% stake, fell 10% again and its listing was suspended again.

The losses for Mr. Adani’s conglomerate follow the publication last week by US investment firm Hindenburg Research of a report denouncing “blatant stock market manipulation and a system of accounting fraud spanning decades”.

This American investment research firm revealed in 2020 manipulations that led to the indictment of the leaders of the electric vehicle manufacturer Nikola.

“This is the biggest scam in business history,” Hindenburg Research said, further accusing him of “stock manipulation and money laundering.”

According to the newspaper the worldthe investigation denounces the older brother of the Indian tycoon, Vinod Adani, of managing “a vast maze of extraterritorial entities.” These “shell companies” located in the Mauritius Islands and also in Cyprus, the United Arab Emirates, Singapore and various Caribbean islands would have collectively transferred billions of dollars into companies listed on the Adani Stock Exchange, in particular to make believe in their good financial health.”

Too they accuse the group of benefiting from “corruption” at “multiple levels of government”including India’s stock market watchdog, the Securities and Exchange Board of India (SEBI).

The son of a textile merchant, Gautam Adani, very close to Prime Minister Narendra Modi, made his fortune as an industrialist in the sectors of ports, airports and the exploitation of raw materials such as coal and oil.

Originally Posted on RFI