India, May 19 -- Adani Group stocks rallied sharply on Tuesday after the US Department of Justice reportedly dropped all criminal allegations against billionaire industrialist Gautam Adani and his nephew Sagar Adani.

Shares of several Adani companies, including Adani Enterprises, Adani Green Energy, Adani Power, Adani Ports and Special Economic Zone, Adani Energy Solutions and Adani Total Gas, gained over 3 percent in early trade.

The dismissal was reportedly filed in the United States District Court for the Eastern District of New York "with prejudice," meaning the case cannot be reopened in the future.

DOJ says charges cannot be sustained

In its filing, the DOJ stated that after reviewing the matter, it had decided in its prosecutor...