Delhi: In a major setback for Delhi Chief Minister Arvind Kejriwal, the Delhi High Court on Tuesday dismissed his plea challenging his arrest by the Directorate of Enforcement (ED) in the money laundering case related to the alleged liquor policy scam case.
Justice Swarana Kanta Sharma upheld his arrest and subsequent remand holding that ED was able to place enough material, statements of approvers and the Aam Aadmi Party's candidate stating that Kejriwal was given money for Goa elections.
"Material collected by ED reveals that Kejriwal conspired and was involved in the formulation of excise policy and used proceeds of crime. He is also allegedly involved in a personal capacity in the formulation of policy and demanding kickbacks and secondly in the capacity of national convenor of AAP," the judge said while pronouncing the order in open court.
On Kejriwal's arguments challenging the timing of the arrest ahead of the Lok Sabha elections, the court said: "Petitioner has been arrested in money laundering case and court has to examine his arrest and remand as per law irrespective of timing of elections." It held that challenge timing of arrest, in the absence of any mala fide on part of ED, is not sustainable.
Kejriwal is currently in judicial custody. He was arrested on the night of March 21. On March 22, the trial court remanded him to six days of ED custody, which was extended by four days. On April 1, he was remanded to judicial custody till April 15.
Senior Advocate Abhishek Manu Singhvi appeared for Kejriwal. ASG SV Raju represented ED. Singhvi argued that the central probe agency did not comply with Section 50 of the Prevention of Money Laundering Act, which empowers it to issue summons, collect evidence etc.
He contended that ED forced the approvers Raghav Magunta, Sarath Reddy and Magunta Reddy to make statements against Kejriwal. He further alleged that two approvers even have links with the ruling party.
Responding to the plea, ED had said that Kejriwal is the kingpin and the key conspirator of the excise scam and there were reasons to believe on the basis of material in its possession that he was guilty of the offence of money laundering.
ED also alleged that the Aam Aadmi Party was the “major beneficiary” of the proceeds of the crime and has committed the offence through Kejriwal.
“The AAP is the major beneficiary of the proceeds of crime generated in the Delhi Liquor Scam. Arvind Kejriwal was and is not only the brain behind the AAP but also controls its major activities, he was also one of the founding members and was also involved in the decision making of the policy as evident from the statements of the witnesses,” the response said.
Kejriwal had skipped nine summons issued to him by ED. AAP leaders Manish Sisodia and Sanjay Singh are also accused in the case. While Sisodia remains in judicial custody, Singh was recently granted bail by the Supreme Court.
Following his arrest, Kejriwal had promptly moved an urgent petition before the Supreme Court challenging his arrest. However, the same was withdrawn later.
Moreover, he has previously moved the Delhi High Court challenging the summons issued to him by the central probe agency. He has also filed an application seeking interim protection. The matter is fixed for hearing on April 22. Kejriwal skipped the summons, claiming that they were illegal.
It is ED's case that the excise policy was implemented as part of a conspiracy to give wholesale business profit of 12 per cent to certain private companies, although such a stipulation was not mentioned in the minutes of meetings of Group of Ministers (GoM).
(With LiveLaw inputs)
