#LIC# Adani Group# Washington Post report# Indian government # investment controversy# due diligence# Gautam Adani
Mumbai: Life Insurance Corporation of India (LIC) on Saturday refuted The Washington Post report claiming that Indian officials had devised a plan in May to channel around $3.9 billion from the state-run insurer into Adani Group firms.
The insurer termed the allegations “false,” asserting that all its investments are made independently and in line with board-approved policies after detailed due diligence.
“Department of Financial Services (in the Union Finance Ministry) or any other body does not have any role in such (investment) decisions,” LIC said in a post on X.
The insurer emphasised that its investment decisions are guided by company fundamentals and thorough evaluations.
According to PTI, LIC’s investments in India’s top 500 firms have increased tenfold since 2014 — from ₹1.56 lakh crore to ₹15.6 lakh crore — underscoring robust fund management.
“The investment decisions are taken by LIC independently as per Board-approved policies after detailed due diligence,” the statement reiterated.
LIC further added, “LIC has ensured the highest standards of due diligence and all its investment decisions have been undertaken in compliance with extant policies, provisions in the Acts and regulatory guidelines, in the best interest of all its stakeholders.”
The Washington Post had alleged that officials drafted a plan earlier this year to push LIC into investing in the Adani Group, at a time when the conglomerate was grappling with debt and scrutiny in the US.
The report cited LIC’s $570 million investment in Adani Ports & SEZ (APSEZ) in May 2025 — a company with a top-tier ‘AAA’ credit rating in India.
In a sharply worded rebuttal, LIC said the article carried statements “with the intentions to prejudice the well-settled decision-making process of LIC and also to tarnish the reputation and image of LIC and the strong financial sector foundations in India.”
With assets exceeding ₹41 lakh crore (over $500 billion), LIC is India’s largest institutional investor, holding stakes across 351 listed companies covering major business sectors, along with substantial government and corporate bonds.
The insurer’s exposure to the Adani Group stands at less than 2 per cent of the conglomerate’s total debt, led by Gautam Adani, India’s second-richest person.
Global investors such as BlackRock, Apollo, Japan’s Mizuho and MUFG, and Germany’s DZ Bank have also recently invested in Adani debt, indicating international investor confidence in the group.
As per PTI, LIC holds 4 per cent (₹60,000 crore) in Adani stocks, compared to 6.94 per cent (₹1.33 lakh crore) in Reliance, 15.86 per cent (₹82,800 crore) in ITC Ltd, 4.89 per cent (₹64,725 crore) in HDFC Bank, and 9.59 per cent (₹79,361 crore) in SBI. It also owns 5.02 per cent of TCS, valued at ₹5.7 lakh crore.
