Amsterdam: S&P Dow Jones Indices has announced that Adani Enterprises will be dropped from the Dow Jones Sustainability Indices on accountr of recent allegations of stock manipulation and accounting fraud that were levelled against Adani Group.
"Adani Enterprises (XBOM: 512599) will be taken away from the Dow Jones Sustainability Indices after a Media & Stakeholder Analysis triggered by allegations of stock manipulation and accounting fraud," it said in a statement on February 2.
The changes to the Dow Jones Sustainability Indices will be made by S&P Dow Jones Indices, and they'll take effect before the market opens on Tuesday, February 7, 2023.
The Adani Group was accused of having weak business fundamentals, stock market manipulation, and accounting fraud, among other things, in a study by US-based Hindenburg Research that surfaced on January 24. This announcement by S&P Dow Jones Indices came a week after that report.
Because of their high valuations, shares of Adani group companies may decline from their current levels, according to the report. All Adani Group companies' shares have consistently fallen after the report, albeit to different degrees.
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