US Department of Justice Accused of Overstepping Bounds

Mark Mobius, Chairman of Mobius Emerging Opportunities Fund, has criticized the US Department of Justice for what he believes is an overreach in indicting Gautam Adani and other officials in an alleged bribery case. Mobius argues that the US Justice Department should not interfere with matters concerning an Indian company.

In an interview with ET Now, Mobius stated, "I think the Justice Department in the US probably overstepped its bounds. It has gone too far." He also anticipates a substantial reduction in the US Justice Department's international corporate prosecutions as Donald Trump assumes office in January. Mobius emphasizes the importance of examining tangible evidence rather than relying on hearsay in such cases. Regarding Adani, he advocates for a measured approach, suggesting a thorough review of evidence before making judgments.

"...by the way, with the introduction of Trump, a lot of the work of the Justice Department going overseas to prosecute companies around the world is going to come down. They are going to be cutting that kind of work. The other thing, of course, is that we have to look at the evidence. Where is the evidence? And a lot of it is hearsay, but we have to look at the actual evidence. So, I would not condemn Adani immediately. I would first want to see evidence. And besides, the Justice Department in the US really has no business prosecuting an Indian company," he was quoted as saying by ET.

When questioned about the Adani Group stocks and whether he bought any when they crashed following the allegations, Mobius said, "I was looking at it, but it moved up too fast." The Adani Group has approximately six listed companies, each operating in distinct sectors. These include Adani Enterprise, the primary holding company, and Adani Port, which manages port operations. The portfolio extends to the energy sector with Adani Green, whilst cement operations are handled through ACC and Ambuja.

Asked about which Adani Group stock interests him, Mobius said, "Probably on the infrastructure side, because that is where they have an incredible expertise and global view. Power and infrastructure would probably be most interesting at this stage."