Gautam Adani’s conglomerate finds itself embroiled in fresh environmental controversies as multiple high-profile projects face legal scrutiny across India. The billionaire’s ambitious expansion plans are now under threat due to allegations of environmental law violations, adding to mounting legal pressures on the group.
$2 Billion Power Plant Under Scrutiny
India’s National Green Tribunal is set to hear a case Friday regarding serious allegations that Adani Group began construction on a $2 billion power plant in Uttar Pradesh without required environmental clearances.
An environmental activist claims the project site falls within forest land in Mirzapur district and would devastate local ecosystems and wildlife if allowed to proceed. Court documents show the lawsuit specifically seeks to halt all development activities.
Adani strongly refuted these accusations in a March 6 filing, stating: “The project land is not forest land” and denying any environmentally damaging activities. However, state pollution control official Reetesh Kumar Tewari confirmed to Reuters that Adani halted work at the site after receiving a November warning notice about unauthorized construction.
Mumbai Luxury Housing Project Challenged
In India’s financial capital Mumbai, Adani faces another environmental battle over a luxury residential development in the upscale Bandra suburb. Activist Zoru Bhathena and local residents have brought the case to Mumbai’s high court, arguing the land was reclaimed from the sea and remains a legally protected coastal region where construction is prohibited.
The court has described this as a “vital issue relating to environment protection,” with the next hearing scheduled for March 27. While India’s environment ministry and Adani Group contend the land no longer qualifies as a protected area following 2019 regulatory changes, opponents insist coastal protection laws are being circumvented.
Controversial Dharavi Slum Redevelopment
Perhaps Adani’s most ambitious and high-profile project in Mumbai involves redeveloping Dharavi, one of Asia’s largest slums, featured in the Oscar-winning “Slumdog Millionaire.” After winning a $619 million redevelopment bid two years ago, the Adani-led company (now called Navbharat Mega Developers) was allocated 256 acres of salt-pan lands to build rental housing for displaced Dharavi residents.
However, activist lawyer Sagar Devre has filed public interest litigation challenging this allocation. The lawsuit alleges that Prime Minister Narendra Modi’s government improperly changed regulations in August 2024 to allow residential development on ecologically sensitive salt-pan lands that serve critical flood protection functions.
Pattern of Environmental Challenges
These recent legal battles follow a historical pattern for Adani’s projects. In Australia, the group’s Carmichael coal mine faced a seven-year activist campaign, while construction at its south Indian seaport was halted for months in 2022 amid protests over coastal erosion concerns.
Environmental challenges often become significant obstacles for major development projects in India, where legal proceedings can extend for years.
Additional Legal Pressures Mount
These environmental disputes emerge as Adani faces separate serious allegations. India’s government recently asked a local court to deliver a summons from the U.S. Securities and Exchange Commission to Gautam Adani regarding his alleged involvement in a $265 million bribery scheme. Adani has categorically denied these accusations, calling them baseless.
The controversial salt-pan land reallocation for the Dharavi project has also sparked political controversy, with India’s opposition Congress Party claiming it exemplifies how Modi’s government modifies policies to benefit Adani—allegations both parties have consistently denied.
As these legal battles unfold, they represent significant challenges to Adani Group’s expansion strategy and raise important questions about environmental protection in India’s rapidly developing economy.
