Kenyan President William Ruto has ordered the immediate cancellation of a procurement process that would have transferred control of Kenya’s main airport to India’s Adani Group.
The decision follows the indictment of Gautam Adani, the company’s founder, and seven others in the United States on bribery charges.
In his state of the nation address last week, Ruto also announced the termination of a $736 million, 30-year public-private partnership deal signed last month between Kenya’s energy ministry and an Adani Group subsidiary for constructing power transmission lines.
“I have directed agencies in the ministries of transport, energy, and petroleum to cancel the ongoing procurement immediately,” Ruto declared.
The President emphasized his zero-tolerance policy on corruption, stating, “In the face of undisputed evidence or credible information on corruption, I will not hesitate to take decisive action.”
The U.S. Department of Justice revealed that Gautam Adani and his associates allegedly paid $265 million in bribes to Indian government officials.
While the Adani Group denied the allegations, calling them “baseless,” the charges have shaken the company’s reputation and financial stability.
Kenyan Energy Minister Opiyo Wandayi defended the transmission contract, asserting that no corruption was involved in its award to Adani Group.
The allegations against Adani triggered significant market turmoil in India. Shares of Adani Enterprises, Adani Green Energy, and Adani Ports and Special Economic Zone Ltd. plummeted by 20% within hours of trading on Thursday.
In response to the controversy, Adani Green Energy abandoned plans to raise $600 million through US dollar-denominated bonds, according to a statement issued to the National Stock Exchange of India.
The fallout marks a critical moment for the Adani Group, raising questions about governance and transparency in its global operations.
Meanwhile, Kenya’s decisive action highlights its commitment to protecting national interests and maintaining integrity in public-private partnerships.
