Kenya has announced the cancellation of contracts exceeding $2.5 billion (approximately Rs20,800 crore) with India’s Adani Group, as reported by Al Jazeera citing Reuters.
The decision comes in the wake of bribery and fraud allegations against Gautam Adani, chairperson of the conglomerate, in the United States.
Gautam Adani, one of the world’s richest individuals, was indicted on Wednesday by US prosecutors alongside several associates. Arrest warrants have been issued against him and his nephew, Sagar Adani, on the same day.
In response, the Adani Group has dismissed the allegations as "baseless" in a statement, asserting their intent to pursue "all possible legal remedies."
Speaking to Kenya's parliament on Thursday, President William Ruto declared the revocation of two major agreements with the Adani Group. The first, valued at approximately $2 billion (Rs16,640 crore), entailed the construction of a second runway at Jomo Kenyatta International Airport and a 30-year lease for upgrading the airport’s passenger terminal.
The second deal, worth $736 million (Rs6,110 crore), was a public-private partnership agreement signed last month. Under this contract, an Adani Group firm was to build transmission lines for Kenya’s Ministry of Energy and Petroleum.
President Ruto directed relevant agencies within the ministries of transport and energy to immediately terminate the contracts. He stated that the decision was made based on newly acquired information from investigative bodies and partner nations.
The announcement was met with resounding applause and cheers from lawmakers in the parliament. Transparency concerns had long surrounded the agreements, with criticism mounting over their exorbitant costs.
Despite repeated requests for comment, representatives from the Adani Group did not provide an immediate response.
