Dow Jones removes Adani Ports from index for alleged ‘links with Myanmar military’

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New York-based stock exchange S&P Dow Jones Indices has said that it has removed Adani Ports and Special Economic Zone Ltd from its sustainability index due to the company’s “business ties with Myanmar military” stated news reports on Tuesday. The Myanmar military has been accused of severe human rights violations that have reportedly followed the coup in February this year.

Adani Ports and Special Economic Zone Ltd. will be removed from the index prior before it opens on Thursday, April 15, said in a statement on Tuesday. The country’s largest private multi-port operator is reportedly paying over Rs 225 crore to the military-backed Myanmar Economic Corporation (MEC) in ‘land lease fees’ for a port in Yangon .

On March 31, the United States imposed sanctions against two Myanmar military companies. An Australian human rights lawyers collective had claimed that Adani Group is financially involved with one of the companies. It was reported that the US sanctioned Myanmar Economic Corporation as it was “a vital financial lifeline” for the “Junta which has overthrown the elected government and killed hundreds of unarmed protesters”. The Australian lawyers’ report has claimed that Adani is paying about Rs 225 Crore to MEC. According to the Australian Centre for International Justice (ACIJ) and the Justice for Myanmar group the money was provided to MEC which “stands credibly accused and is being investigated at the ICC and ICJ for crimes against humanity”.

However, the Adani Ports spokesperson has denied the allegation saying, “The Yangon project is independent with no joint venture partners. We are watching the situation carefully and will engage with relevant authorities and stakeholders to seek their advice for the way forward.” But according to NDTV Adani Group had also said on March 31 it would consult authorities and stakeholders on its port project in Myanmar, after this revelation was made. More than 700 people have been killed since the Feb1 military coup that ousted an elected government led by Aung San Suu Kyi.

And now the news of the firm’s removal has also taken a toll on its listing on domestic index BSE Sensex too stated news reports, adding that “by 10.20 am on Tuesday, its share price had dipped 4.25% compared to its opening mark on Monday.” The company has not yet released an official statement on the Dow Jones’ action.

Thousands continue to suffer in Myanmar amidst the ongoing military crackdown after the February 1, 2021 coup, India has already sealed all entry points along its border with the country.