Shares of Adani Enterprises, Adani Power, Adani Green Energy and other Adani Group companies rallied sharply on Tuesday after the group announced a major settlement with the US Treasury Department’s Office of Foreign Assets Control (OFAC) in a sanctions-related investigation linked to alleged Iran-connected LPG transactions.
The development boosted investor sentiment across Adani Group stocks, with markets reacting positively to the resolution of the long-running investigation. The settlement marks a significant step for the conglomerate as it attempts to remove regulatory uncertainties surrounding its international business operations.
According to disclosures filed with the NSE and BSE, Adani Enterprises informed exchanges that it had reached a settlement agreement with OFAC after extending extensive cooperation during the investigation and proactively disclosing findings related to the matter.
The investigation was linked to alleged sanctions violations involving liquified petroleum gas (LPG) imports between November 2023 and June 2025. OFAC issued the Enforcement Release dated May 18, 2026, confirming the settlement agreement.
As part of the settlement, Adani Enterprises agreed to pay $275 million to OFAC. The amount is lower than the maximum statutory penalty of $384.2 million. The company said the reduced penalty reflected factors including the absence of any prior penalty notice or Finding of Violation from OFAC during the five years preceding the transactions under review.
Adani Enterprises clarified that the settlement was reached without admitting the allegations made by OFAC. The company also highlighted its substantial cooperation with US authorities, along with remedial measures and additional compliance commitments that contributed to the final settlement outcome.
The company further noted that its LPG business represented less than 1.5% of its total consolidated revenue in FY25, suggesting that the investigated transactions formed only a small portion of its overall operations.
The latest development comes shortly after Adani Green Energy disclosed that the United States Securities and Exchange Commission (SEC), along with Gautam Adani and Sagar Adani, had filed requests for entry of final judgment in a civil complaint filed in November 2024.
Adani Green Energy stated that it was not a party to the proceedings and that no charges had been brought against the company. However, Gautam Adani and Sagar Adani reportedly consented to the entry of final judgment without admitting or denying the allegations in the SEC complaint. As part of the proposed settlement, Gautam Adani agreed to pay a civil penalty of $6 million, while Sagar Adani agreed to pay $12 million.
Following the announcements, investors rushed to accumulate Adani Group shares, leading to strong gains across several group companies during early trade. Market participants viewed the settlement as a positive step toward reducing legal and regulatory overhang for the conglomerate.