New Delhi: S&P Dow Jones Indices has said Adani Enterprises will be removed from the Dow Jones Sustainability Indices due to recent allegations of stock manipulation and accounting fraud that were levelled against the conglomerate.


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"Adani Enterprises (XBOM: 512599) will be removed from the Dow Jones Sustainability Indices following a Media & Stakeholder Analysis triggered by allegations of stock manipulation and accounting fraud," it said in a statement on Thursday (local time).S&P Dow Jones Indices will make the changes to the Dow Jones Sustainability Indices, effective prior to the opening on Tuesday -- February 7, 2023.


This announcement by S&P Dow Jones Indices comes a week after a report by a US-based Hindenburg Research, which surfaced on January 24, claimed the Adani Group of having weak business fundamentals, allegations of stock manipulation and accounting fraud, among others.


The report raised concerns about shares of Adani group companies having a possibility of declining from their current levels, owing to high valuations. Following the report, the shares of all Adani Group companies have been consistently declining, though with varying degrees.


According to S&P Global website, the Dow Jones Sustainability Indices (DJSI) are a "family of best-in-class benchmarks" for investors who have recognized that sustainable business practices are critical to generating long-term shareholder value and who wish to reflect their sustainability convictions in their investment portfolios.