A report by The Wall Street Journal claims that the US Justice Department is probing potential violations of sanctions by the Adani Group over alleged imports of Iranian liquefied petroleum gas (LPG) through its Mundra Port in Gujarat. The Indian conglomerate has vehemently denied the allegations, calling them “baseless and mischievous.”
According to the report, US prosecutors are investigating whether LPG tankers travelling between the Persian Gulf and Mundra exhibited behaviors consistent with sanctions evasion techniques. The Wall Street Journal said the Justice Department is examining cargoes delivered to Adani Enterprises through ships suspected of violating sanctions placed on Iran.
The investigation comes at a time when former US President Donald Trump’s administration is reportedly pulling back enforcement on certain white-collar crimes — including foreign bribery and sanctions evasion — with Attorney General Pam Bondi directing a refocus on drug cartels and international crime groups.
In an official statement, the Adani Group dismissed the WSJ report, stating:
“Adani categorically denies any deliberate engagement in sanctions evasion or trade involving Iranian-origin LPG. Further, we are not aware of any investigation by US authorities on this subject.”
Calling the report speculative and factually incorrect, the group added,
“Any suggestion that Adani Group entities are knowingly in contravention of US sanctions on Iran is strongly denied. Any assertion to the contrary would not only be slanderous but also deemed to be an intentional act to injure the reputation and interests of the Adani Group.”
The group further stated that it reserves its legal rights and those of its personnel in response to the “mischievous” claims.
The investigation aligns with Trump’s renewed “maximum pressure” campaign against Iran. In a recent post on his social media platform Truth Social, Trump warned that any entity purchasing oil or petrochemicals from Iran would face secondary sanctions and would be barred from doing business with the US.
While the warning appeared primarily aimed at China — which continues to import over a million barrels of oil daily from Iran — the global ripple effect could impact multiple countries and companies.
Trump had earlier withdrawn the US from the Iran nuclear deal and implemented similar tariffs on Venezuela, another oil-exporting nation under sanctions. These actions reflect the administration’s hardline stance on isolating regimes it accuses of supporting militant groups or pursuing nuclear weapons.
The report further notes that US policy shifts may indirectly benefit companies like the Adani Group. Some of its executives are reportedly facing bribery-related investigations in US courts, and a softening of enforcement around foreign bribery laws could affect the outcomes.
One such case involves Azure Power, which had entered into a contract with an Adani Group company for building a solar energy project. That deal, too, had come under scrutiny over bribery allegations.
While no official confirmation has come from the US Department of Justice regarding the ongoing investigation into Adani, the matter is likely to remain in the spotlight amid increasing global attention on business ethics, sanctions compliance, and India-US corporate relations.
