COLOMBO: India’s Adani Group’s power purchase deal with the Sri Lankan government is intact, the company says, after the AFP news agency reported it had been revoked, citing a government official and a document.

Sri Lanka has revoked a power purchase agreement with Adani Group’s renewable energy unit after allegations of corruption levelled against the Indian conglomerate in the US last year that brought some of its foreign projects under fresh scrutiny.

Sri Lanka has revoked a power purchase deal with India's Adani Group after a probe into U.S. allegations that the conglomerate's executives paid bribes to secure Indian power supply contracts, according to an AFP report published by the Economic Times newspaper on Friday.

Sri Lanka cancelled the agreement after allegations of corruption in a US probe last year, AFP reported citing unnamed government officials.

Adani Green Energy's stock experienced a decline following the news of Sri Lanka's termination of the power purchase agreement, reaching a daily low of Rs 1,008.

Sri Lanka’s Cabinet of Ministers chaired by President Anura Kumara Dissanayake has revoked a decision announced in June last year to award a controversial 484 MW of wind power plants in Mannar and Pooneryn to Adani Green Energy SL Ltd.