The Congress party on Saturday accused the Narendra Modi-led central government of misusing funds from the Life Insurance Corporation (LIC) to benefit the Adani Group. Congress leaders, spearheaded by general secretary (communications) Jairam Ramesh, urged the Public Accounts Committee (PAC) of Parliament to launch a thorough investigation into the allegations surrounding the management of LIC funds, which, they claim, are the savings of over 30 crore policyholders.
Ramesh stated that recent media revelations have shed light on a systematic misuse of LIC to secure large-scale investments in the Adani Group. “Internal documents reveal that Indian officials proposed an investment of around ₹33,000 crore of LIC funds in various Adani companies as early as May 2025,” he claimed. This move, according to Ramesh, aimed to inspire confidence in the Adani Group and attract participation from other investors.
Questioning the roles of the Ministry of Finance and NITI Aayog, Ramesh alleged that both entities acted under undue pressure to bail out a private conglomerate under investigation. “Is this a textbook case of ‘mobile phone banking’ — where decisions are shaped by powerful corporate interests?” he queried.
Ramesh pointed out a staggering loss of ₹7,850 crores incurred by LIC in just a few hours of trading on September 21, 2024, following the indictment of Gautam Adani and his associates in the United States. He accused the government of providing undue protection to Adani, stating that the Modi administration has failed to respond to the US SEC summons regarding the allegations against the group.
Adding to the serious claims, Ramesh asserted that Adani had been implicated in orchestrating a ₹2,000 crore bribery scheme to secure lucrative solar power contracts. He labeled these issues as part of a broader ‘Modani MegaScam’, alleging misuse of central agencies such as the Enforcement Directorate (ED), Central Bureau of Investigation (CBI), and Income Tax Department to coerce private firms into selling assets to the Adani Group.
Congress representatives also highlighted claims of rigged privatizations of airports, ports, and critical infrastructure projects favoring the Adani Group. They mentioned the use of diplomatic channels to secure contracts internationally, as well as overinflating coal import costs through associates, which allegedly increased electricity prices in Gujarat. Furthermore, they pointed to pre-election power supply contracts at inflated prices in Madhya Pradesh, Rajasthan, and Maharashtra, and the acquisition of land at ₹1 per acre for a power plant in Bihar.
Ramesh insisted that these allegations warrant a Joint Parliamentary Committee (JPC) investigation. This follows the sustained demand from the Congress party as part of their “Hum Adani Ke Hain Kaun” (HAHK) campaign, which has been ongoing for three years. “At the very least, the PAC should examine how LIC was coerced into investing in the Adani Group,” Ramesh emphasized, asserting that such inquiries fall well within the powers of Parliament.
As of now, the Adani Group and the Union government have not offered any immediate response to the serious allegations leveled against them. The Congress’s call for investigation highlights rising political tensions and concerns over government transparency as the nation approaches significant elections.
