The withdrawal marks another low point in U.S.-India ties after the billionaire’s indictment on charges related to fraud, and a blow to Washington’s bid to counter China’s regional clout.

Embattled billionaire Gautam Adani pulled out of a loan deal with an American agency to fund a port terminal in Sri Lanka’s capital, ending an agreement hailed a year ago as an effort by India and the US to counter China’s growing influence in the region.

India's Adani Ports and Special Economic Zone Ltd said on Tuesday it would finance its Colombo port terminal project through internal accruals and a capital management plan, withdrawing its request for funding from the U.

As per the reports, the company said in an exchange filing it will finance the project through its internal accruals and capital management plan.