Read Time: 08 minutes

Synopsis

The Delhi High Court presided by Justice Swarana Kanta Sharma rejected Arvind Kejriwal’s plea seeking interim directions to the Enforcement Directorate for his release. The Court further issued notice to the Enforcement Directorate (ED) to file a reply till April 02, 2024.

Senior Advocate Abhishek Manu Singhvi, appearing for Arvind Kejriwal, noted that the timing of the arrest was significant as it happened just before the upcoming elections, which could potentially disrupt the fair democratic process. He stressed the crucial need to uphold democracy's fundamental principles and ensure fair elections, particularly noting that the arrest took place after the implementation of the model code of conduct.

Sr Adv Singhvi further underscored that arresting a sitting chief minister, especially one week before elections, goes against the core principles of democracy, including a level playing field and fair elections. He questioned the timing of the arrest, pointing out that it occurred without a section 50 PMLA statement, which the court has previously stated is essential for such actions. Singhvi expressed concern that the arrest seemed politically motivated to hinder him and his party.

Additional Solicitor General (ASG) Raju, representing ED, contended that the opposing party could have provided them with a copy on Saturday (March 23) and rectified any issues at that time. ASG Raju expressed frustration that they were not given copies despite their requests until Monday (March 26) and accused the opposing party of deliberately withholding them. He criticized the notion of seeking a level playing field while causing delays and confusion with unnecessary objections.

ASG Raju further elaborated, stating that the opposing party filed the petition on Saturday and requested a copy via email. However, they did not receive a response and were only provided with the copy yesterday, deliberately causing delays and complications.

Brief Background: 

In November 2021, the Delhi liquor policy was rolled out, but later, the ED accused it of having intentional gaps that encouraged cartel formations, benefiting AAP leaders. In July 2022, accusations in the Delhi excise policy scandal emerged from a report submitted by Delhi Chief Secretary Naresh Kumar to Lieutenant Governor (LG) Vinai Kumar Saxena, pointing to alleged procedural irregularities in the policy's development. This report prompted the CBI to name Sisodia and 14 others in the FIR.

By September 2022, Vijay Nair, AAP's communications in-charge, was arrested by the CBI and later by the ED in November. A Delhi court rejected his bail plea in July. Nair was accused of being a middleman between the 'South Group' and laundering money as kickbacks during AAP’s Goa Assembly poll campaign. The ED alleged that this group gained unauthorized access, received undue favors, and acquired stakes in wholesale and retail zones beyond policy limits.

In February 2023, former Delhi Deputy Chief Minister Manish Sisodia was arrested by the CBI and detained in Tihar jail. Sisodia resigned from his Delhi government post, with the AAP transferring his portfolios to party colleague Atishi. By March 2023, the ED informed a Delhi court that the alleged proceeds of crime exceeded Rs 292 crore and emphasized the need to establish the modus operandi. The ED claimed that the scam involved granting wholesale liquor business to private entities with a fixed 12% margin, resulting in a 6% kickback.

In October 2023, the ED issued its first summons to Kejriwal, followed by a total of nine summonses. Kejriwal has consistently alleged that these summonses were politically motivated. Additionally, the ED arrested AAP MP Sanjay Singh, accusing him of illegal cash transactions at his official residence.

On March 15, 2024, K Kavitha, a BRS leader and Telangana Legislative Council member, was arrested by the ED for her alleged involvement in the 'South Group.' By March 19, 2024, the ED implicated Kejriwal as a conspirator in the case for the first time, while the Central Bureau of Investigation hinted at potential arrests of high-profile individuals connected to the case. Kejriwal had approached the Supreme Court against his arrest but later withdrew his petition.