Gautam Adani conglomerate lost $51 billion dollars in a day after fraud allegations

Gautam Adani – have lost a combined $51 billion in market capitalisation since Wednesday, with US bonds of Adani firms also falling after Hindenburg Research flagged concerns in a Jan. 24 report about debt levels and the use of tax havens.The firm calling its report on Adani Group – How The World’s 3rd Richest Man Is Pulling The Largest Con In Corporate History “.

His flagship Adani Enterprises plunged 15 per cent in Mumbai after midday, a fall of 508.45 rupees, triggering an automatic trading halt alongside five of its seven main listed subsidiaries.

The rout took shares of Adani Enterprises, the group’s flagship company, well below the offer price of its secondary sale, which had initially been offered at a discount.

Hindenburg Research this week alleged in a report that Adani Group had used undisclosed related-party transactions and earnings manipulation to “maintain the appearance of financial health and solvency” of its listed business units.

Hindenburg Research tweeted,we have included 88 questions in the conclusion of our report. If Gautam Adani truly embraces transparency, as he claims, they should be easy questions to answer. We look forward to Adani’s response.

Hindenburg in its report said key listed Adani Group companies had “substantial debt”, putting the conglomerate on a “precarious financial footing”, and that “sky-high valuations” had pushed the share prices of seven listed Adani companies as much as 85% beyond actual value. Billionaire US investor Bill Ackman said on Thursday that he found the Hindenburg report “highly credible and extremely well researched.”