The Enforcement Directorate (ED) on Friday conducted raids at 40 locations around the country, largely on individuals and companies, in connection with its money laundering probe into the Delhi excise policy 2021-22, in which deputy chief minister Manish Sisodia is named as accused.
People familiar with the development said the raids were conducted at around 40 locations in Andhra Pradesh, Tamil Nadu, Karnataka, and Delhi and the National Capital Region. The federal anti-money laundering earlier raided places linked to several dealers, businessmen, and distilleries etc in North India on September 6, again in connection with the same case .
Both ED and the Central Bureau of Investigation (CBI), are currently questioning several middlemen, liquor distributors and retailers over the alleged “cartelization” of liquor business in Delhi.
The now-scrapped policy was meant to prevent cartelization, but investigators are looking at links between manufacturers, wholesalers, and retailers, with some sharing directors, HT reported on September 15.
The ED probe is based on the CBI first information report (FIR), registered on August 17, against Sisodia, former excise commissioner Arva Gopi Krishna, former deputy commissioner Anand Tiwari, and assistant commissioner Pankaj Bhatnagar and nine private persons , Dinesh Arora, Vijay Nair, Manoj Rai , the former vice president of liquor maker Pernod Ricard, Sameer Mahendru, managing director of Jor Bagh-based Indospirit Group, a distributor, Amandeep Dhal, director of Brindco Sales Pvt Ltd, a wholesaler, Amit Arora, director of Buddy Retail Private Ltd, a retailer, Sunny Marwah of Mahadev Liquors, a trading firm, and also director in Ponty Chadha group firms, Telangana-based individual Arun Ramchandra Pilla, and Gurugram resident Arjun Pandey.
CBI launched its investigation Based on a reference from VK Saxena on July 20, forwarded to it by the ministry of home affairs (MHA). Its FIR states that “Sisodia, Gopi Krishna, Tiwari and Bhatnagar were instrumental in recommending and taking decisions pertaining to excise policy for the year 2021-22 without the approval of competent authority (the Lt Governor) with an intention to extend undue favours to the licencees post tender”.
Delhi’s new excise policy was introduced in November, 2021 when the government exited the retail liqour business. It ran into controversy in July when lieutenant governor of Delhi VK Saxena recommended a CBI investigation into alleged irregularities, including alleged bending of rules and processes. The issues included loss to the state exchequer, a ₹30 crore refund to a bidder who failed to get the requisite clearances, and the waiver of ₹144.36 crore in license fee for the period when a Covid-19 outbreak-induced lockdown was in force.
The AAP has denied the allegations, saying the charges are vague and the controversy is meant to derail the party’s growing popularity nationwide.
ED is probing if alleged irregularities were done in the formulation and execution of the Delhi Excise Policy and if some alleged proceeds of crime, in terms of tainted money, were generated by the accused.
It has already sought a Delhi court’s permission to question jailed Aam Aadmi Party (AAP) leader and former health minister of Delhi Satyendar Jain in the matter. Jain was arrested by the ED on May 30 in another case filed under the Prevention of Money Laundering Act (PMLA) linked to alleged hawala dealings.
The BJP on Thursday shared a ‘sting operation’ video to claim that the AAP government framed its excise policy to help a select few and used the money earned through alleged corruption to fund its campaigns in Goa and Punjab assembly polls. AAP has refuted allegations of irregularities and corruption in the implementation of the policy.
