‘Adani Scam’ Exposed Role of Tax Havens in Hiding Large-Scale Violation of Indian Laws: Cong

GG News Bureau

New Delhi, 14th Sept. The Congress charged on Thursday that the “Adani scam” exposed the role of tax havens in hiding large-scale violations of Indian laws, and that the issue should have been discussed at the recent G20 Summit.

It also stated that if a JPC investigation into the claims against the Adani Group is ordered, it must ensure that any loopholes for round-tripping and money-laundering are effectively closed.

In a post on X, Congress general secretary Jairam Ramesh said the rise in Indian outward direct investment in the past 25 years has been a sign of deepening globalisation.

“However, it is disturbing that offshore tax havens like Bermuda, Jersey and Cyprus rank among the top 10 destinations for Indian investment, according to the RBI,” he said.

This is in addition to Mauritius that has long been suspected as a preferred destination for Indian money-laundering and round-tripping, the Congress leader noted.

“The Adani MegaScam has exposed the critical role such tax havens play in hiding the large-scale violation of Indian laws and regulations. These violations are hollowing out our economy and affecting the credibility of our stock markets,” Ramesh said.

“The G20 was the right forum to take up this issue and ensure concrete action against tax havens. But the Prime Minister was busy projecting his own image rather than protecting India’s interests,” he claimed.

“A JPC into the Adani MegaScam will have to make sure that any remaining loopholes for round-tripping and money-laundering are effectively shut,” the Congress leader said.

The Congress and other opposition parties have demanded a JPC investigation into the Adani case, which will be discussed during the forthcoming special session of Parliament from September 18 to 22.

In a report released on January 24, US short-seller Hindenburg Research accused the Adani Group of accounting fraud, stock price manipulation, and the use of tax havens, causing a stock market meltdown.

Hindenburg’s charges have been refuted by the Adani Group.