Meet Gautam Adani, one of India's biggest tycoons and
one of the world's richest people. He's also right
now at the center of a massive story that's rocked
India. A small firm in new york called Hindenburg
Research has accused the Donnie of running the largest con
in corporate history. Donny says this is not true
that investors have still been dumping shares in his company's
, erasing more than$100 billion in market value.
What sets this story apart is that Adani is one
of India's most powerful businessmen. He runs a group
of companies that own everything from ports to airports to
food companies. So his impact on India's economy is
massive and he is believed to be close with Prime
Minister Narendra modi. Hindenburg is a so called short
seller. An investor that tries to uncover wrongdoing accompanies
and then publishes those findings online and if the stock
drops, typically, they make money over the last
few years, shares in the Donny companies went through
the roof in really unusual ways that made a lot
of people suspicious, including Hindenburg. They started digging
and they kept digging for about two years and in
january, they finally published their findings in short,
it accuses the Donnie's corporate empire of shuffling money in
and out of shell companies in tropical tax havens to
make its financials look better and the share prices go
up and it's done so in ways to break the
law. These kinds of suspicions had already swirled around
for some time. So most people didn't think the
report would have an impact. But then the shares
of the company started to fall and hard. Adani
has, of course denied this and said that Hindenburg
report is an attack on India itself. And that's
what a lot of people worry right now, that
foreign investors are going to look at the crisis going
on in the Donnie's empire and say, I just
don't think India is for me, because that could
have large consequences for the country in the future.