He is one of eight UKIP MEPs who were investigated by the European Parliamentary authorities for misuse of public funds a year ago. Mr Adams was Ukip's national nominating officer and was described as one of its "key people".
The EU inquiry focused on the role of an assistant, Christopher Adams, who was engaged to work with the Member of European Parliament (MEP).
Farage is one of eight Ukip MEPs who were investigated in 2017 for misuse of European Union funds.
Two investigations were closed without any formal action. One of Ukip's most senior figures, Roger Helmer, stood down last summer after an investigation that resulted in a demand to repay about £100,000 for alleged misuse of public funds.
Mr Helmer denied any wrongdoing but gave no explanation as to why he was stepping down.
Mr Farage was defended by the European parliament's Europe of Freedom and Direct Democracy group (Efdd), of which he is the chairman.
Asia retain narrow EurAsia Cup lead
Rafa Cabrera Bello and Alexander Levy , Europe, 1 up. I'm not surprised or shocked by our results so far. Gavin Green and Yuta Ikeda, Asia, def.
Farage has the right to appeal at the European Court of Justice. Half of his salary will be recovered by the European Parliament.
"For perhaps the first time in his life, Nigel Farage is making a valid point", said Labour MP Chuka Umunna, a leading supporter of the pro-EU Open Britain campaign group.
The Guardian writes that Farage will not leave the Parliament portionless.
In 2016 a Ukip-dominated group was denied €501,000 in EU funds after it emerged European money had been funnelled into the attempts to win Farage a seat in the 2015 United Kingdom general election.
But, if MEPs fail to "provide any justification or proof" that their funded assistants are only carrying out EU-related duties, "then the administration may recover the money by withholding part of the MEP's salary".
The Brexit campaigner now has to pay back £35,500 after financial investigators ruled that European Parliament funds money had been misapplied.