NEW DELHI/NEW YORK: Adani Group on Monday agreed to pay USD 275 million to settle allegations of violating US sanctions on Iran, with the US Treasury Department’s Office of Foreign Assets Control (OFAC) saying the conglomerate extended “extensive cooperation” during the investigation and made “proactive” disclosures.
Adani Enterprises (AEL), the group’s flagship company, had purchased shipments of liquefied petroleum gas (LPG) from a Dubai-based trader claiming to supply Omani and Iraqi gas that had actually originated from Iran.
The settlement does not constitute a finding of guilt or wrongdoing and resolves all related liabilities.
“AEL agreed to settle its potential civil liability for 32 apparent violations of OFAC’s Iran sanctions,” OFAC said.
From November 2023 to June 2025, AEL purchased LPG shipments from the Dubai-based trader.
While the supplier represented itself as a reputable intermediary supplying LPG primarily from Oman and Iraq, it allegedly served as a conduit for illicit Iranian-origin LPG entering the market.
“None of the parties involved in AEL’s LPG imports were sanctioned at the time of the LPG shipments, and none of the documentation provided to AEL contained any information explicitly pointing to Iranian origin of the LPG,” the OFAC order said.
However, OFAC noted that AEL and Adani Ports and Special Economic Zone (APSEZ) lacked additional compliance measures to address sanctions-related risks arising from the transactions.
The LPG shipments were imported through APSEZ-operated Mundra port in Gujarat.
“Following public reports in June 2025 of allegations that AEL was engaged in the importation of Iranian-origin LPG, AEL immediately suspended all LPG imports and engaged US-based counsel to conduct a comprehensive investigation of the company’s LPG business,” the order said.
OFAC said AEL “extensively cooperated” with the investigation by proactively disclosing findings, producing large volumes of documentation, answering questions and promptly resolving its potential liability.
The agency also noted that AEL implemented extensive enhancements to its sanctions compliance programme across the corporate group.
This is the second US-related case involving the Adani Group to be resolved in recent days.
Last week, Gautam Adani and his nephew Sagar Adani agreed to pay USD 18 million to settle allegations by the US Securities and Exchange Commission (SEC) that they misled investors by concealing an alleged bribery scheme while raising capital for the group’s renewable energy business.
That settlement was part of broader negotiations involving the US Department of Justice and the Treasury Department.
Under OFAC guidelines, the statutory maximum penalty in the sanctions case could have reached about USD 384 million based on the value of the transactions under review.
However, OFAC reduced the final settlement amount to USD 275 million, citing voluntary self-reporting, proactive engagement and corrective compliance measures taken by the company.
In a stock exchange filing, AEL confirmed that it had entered into a settlement agreement with OFAC.
“Pursuant to the Settlement Agreement, the company has undertaken to pay the settlement amount of USD 275 million to OFAC,” AEL said.
The company said the amount was lower than the maximum statutory penalty of USD 384.2 million because AEL had not received a penalty notice or finding of violation from OFAC in the previous five years, the LPG business formed a small percentage of its overall revenue, and the company had provided substantial cooperation and implemented remedial compliance measures.
AEL also clarified that the settlement was reached “without admitting the allegations made by OFAC”.
The case originated after AEL self-reported the matter to OFAC in 2025 following the discovery that a vessel carrying Iranian-origin LPG had docked at Mundra port.
In February 2026, the company disclosed that OFAC had formally sought information regarding transactions dating back to June 2023 to determine whether payments processed through US financial institutions indirectly involved sanctioned Iranian entities.
Adani Enterprises subsequently halted all LPG imports, strengthened sanctions compliance procedures and introduced additional internal controls.
OFAC cited those remedial measures and compliance commitments as key reasons for reducing the penalty amount.
The OFAC matter was separate from investigations by the US Department of Justice and SEC involving Gautam Adani and other executives.
The resolution of the DOJ, SEC and OFAC matters is expected to remove a major legal overhang for the Adani Group following months of regulatory and investor scrutiny.
Despite the investigations, the conglomerate continued expanding its infrastructure, logistics and energy businesses.
Company filings showed that the Adani Group’s listed entities reported record EBITDA of about USD 5.3 billion in the first half of FY26, while capital expenditure during the period was estimated at nearly USD 17 billion.