S&P Dow Jones is knocking Adani Enterprises off its sustainability index

Adani Enterprises is coming off the Dow Jones Sustainability Indices, effective Feb. 7, S&P said in an announcement.

“Adani Enterprises 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 one-line notice.

Adani Enterprises was added to the Dow Jones Sustainability Emerging Markets Index as of Dec. 19, 2022, according to a list of components on S&P Global’s website.

Adani did not respond to CNBC’s request for comment. Shares traded 30% lower during Mumbai’s trading session on Friday.

The Dow Jones Sustainability Indices (DJSI) rank companies in 61 industries, scoring them based on their responses to questionnaires called the S&P Global Corporate Sustainability Assessment.

The indices serve as benchmarks for investors who “integrate sustainability considerations into their portfolios,” according to the S&P Global website. They are designed to serve as an “effective engagement platform for investors who wish to encourage companies to improve their corporate sustainability practices.”