The sudden volatility stems from an escalation in the high-profile U.S. legal case involving allegations of a $265 million bribery scheme intended to secure solar power contracts in India.
The “Email Summons” Escalation
According to court filings dated January 21, 2026, the SEC has grown frustrated with “procedural delays” through diplomatic channels.
- Indian Government Rejection: The SEC informed the court that the Indian Ministry of Law and Justice has twice declined requests to serve the summons, citing technical and procedural grounds.
- Bypassing the Hague Convention: The SEC is now asking U.S. District Judge Nicholas Garaufis for permission to serve the billionaires through their U.S.-based law firms and personal business emails.
- Investor Impact: The prospect of the legal case moving into a more active phase—bypassing the protective layer of diplomatic hurdles—has revived fears of significant regulatory penalties and reputational damage.
Market Impact: Friday’s Bloodbath (Jan 23, 2026)
The sell-off wiped out over ₹1.1 lakh crore in combined market capitalization across the 10 listed Adani entities.
| Stock Name | Intraday Fall (%) | LTP (Approx.) | Key Highlight |
| Adani Green Energy | ▼ 13.1% | ₹786.20 | Worst hit; also reported Q3 loss of ₹41 Cr. |
| Adani Energy Solutions | ▼ 12.0% | ₹816.50 | 52-week low hit during trading. |
| Adani Enterprises | ▼ 9.3% | ₹1,900.23 | Flagship stock hit its lowest since May 2023. |
| Adani Ports & SEZ | ▼ 8.2% | ₹1,299.00 | Heavy volume sell-off by institutional investors. |
| Adani Power | ▼ 5.8% | ₹132.65 | Sharp decline tracking broader group sentiment. |
A Double Whammy: Weak Q3 Results
The legal news coincided with a lackluster earnings report from Adani Green Energy, which reported a consolidated net loss of ₹41 crore for the December quarter (Q3FY26), compared to a profit of ₹492 crore a year ago.
- Reason for Loss: High operational costs and a one-time adjustment related to the group’s internal restructuring.
- Revenue Growth: Despite the loss, revenue from operations actually rose 8% YoY to ₹2,837 crore, showing that the “crash” is sentiment-driven rather than a fundamental business collapse.
Adani Group’s Stance
The conglomerate has consistently labeled the SEC’s allegations as “baseless” and stated it will pursue all available legal remedies to defend its leadership. Following the latest filing, a group spokesperson reiterated that no Adani executive has been charged with a violation of the Foreign Corrupt Practices Act (FCPA) or a conspiracy to obstruct justice.
Conclusion: A Testing Time for the Conglomerate
The 13% crash marks one of the worst single-day performances for the Adani Group since the Hindenburg report era. With the SEC pushing for a direct legal confrontation and the benchmark Nifty 50 also feeling the pressure, all eyes are now on the Brooklyn federal court’s decision regarding the email summons. If granted, it could mark the start of a prolonged and public legal battle for India’s second-wealthiest individual.
