Adani Group Stocks Plummet Following Hindenburg Research Report Alleging Stock Manipulation & Accounting Fraud

Hindenburg Research, a US-based investment research firm that specialises in activist short-selling, has released a report alleging that Indian conglomerate, Adani Group, has engaged in ‘brazen stock manipulation and accounting fraud’ over the course of decades.[0] [1]

Gautam Adani, the world’s third richest man with a net worth of nearly $119 billion (as reported by Bloomberg), is the chairman of the Adani Group.[2] The group is India’s second-largest conglomerate and has seen its share valuations skyrocket over the past few years.

The report suggests that the group has taken on substantial debt, including pledging shares of their inflated stock for loans, putting the entire group on precarious financial footing.

In response to the report, Adani Group Chief Financial Officer Jugeshinder Singh said that it was a “malicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and rejected by India’s highest courts”.[3] He also noted that the investor community has always had faith in the Adani Group and that they were not influenced by “one-sided, motivated and unsubstantiated reports with vested interests”.[4]

In September 2019, CreditSights (a part of the Fitch Group) labeled the group as “overleveraged”.[1] Despite correcting some calculation errors, CreditSights still expressed that it had “concerns” regarding its debt.[5]

The seven Adani Group stocks lost ₹46,086 crore in market cap on Wednesday. Shares of the seven listed Adani group companies fell between 3% and 7% today.

The Adani Group said that it is shocked that Hindenburg Research had published a report without making any attempt to contact them or verify the factual matrix.[3] The statement said that their informed and knowledgeable investors are not influenced by one-sided, motivated and unsubstantiated reports with vested interests.[6]

It is clear that the report has had a significant impact on the Adani Group’s stocks, and the group will be hoping the investor community will remain confident in the firm in the face of the accusations.

0. “Adani Group, India’s Biggest Corporation, Accused by Hindenburg Research of ‘Largest Con’ in History” Variety, 25 Jan. 2023,

1. “Hindenburg alleges ‘brazen’ fraud by Adani; company calls it malicious, baseless” The Indian Express, 25 Jan. 2023,

2. “Stock in companies run by world’s third-wealthiest billionaire slump after short-seller report” MarketWatch, 25 Jan. 2023,

3. “Gautam Adani, Asia’s richest man, accused of “largest con in corporate history”” Asia Markets, 25 Jan. 2023,

4. “‘Malicious combination of selective misinformation and stale, baseless & discredited allegations’: Adani Group on Hindenburg Research report” OpIndia, 25 Jan. 2023,

5. “US-based research firm alleges ‘brazen’ fraud by Adani; company calls it malicious, baseless”, 25 Jan. 2023,

6. “Report’s publication betrays brazen, mala fide intention to undermine Adani Group’s reputation’” True Scoop, 25 Jan. 2023,


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