In its charge sheet against the AAP leader, the ED claims that Delhi Chief Minister Arvind Kejriwal “directly used” a portion of the alleged Rs 100 crore earned from the “kickbacks” of the Delhi excise policy “scam” to book a stay at a five-star hotel in Goa.
The federal investigative agency added that the Group of Ministers (GoM) that his government had established in this regard was a “sham.”
On Tuesday, a special court under the Prevention of Money Laundering Act (PMLA) acknowledged the prosecution’s May 17 charge and issued a July 12 production order for the Aam Aadmi Party (AAP) leader who is currently detained.
The seventh additional charge sheet in the case names the 55-year-old politician and the AAP as accused parties.
“Arvind Kejriwal, Chief Minister of NCT of Delhi, is the kingpin and key conspirator of the Delhi excise scam in collusion with ministers of Delhi govt, Aam Aadmi Party (AAP) leaders and other persons,” the 209-page charge sheet stated, referring to Kejriwal’s involvement.
The AAP, which controls Delhi and Punjab, said in response to the ED charge sheet on Tuesday that the party was being destroyed and that the BJP-led government at the federal level was hatched a “huge conspiracy” against it.
The agency asserted that Arvind Kejriwal personally utilised a portion of the earnings of the crime by forcing Chanpreet Singh, a different accused party, to pay for the politician’s stay and event at the Grand Hyatt, Goa.
According to the report, Kejriwal also “mingled” these illegal gains with government monies in Delhi.
The “South Group” of politicians and spirits industry executives is said to have paid kickbacks totaling Rs 100 crore to get a favourable position in the Delhi excise policy for 2021–2022, with Rs 45 crore of these funds going towards the AAP’s campaign in Goa during the 2022 assembly elections.
“The AAP withheld from the Election Commission of India the expenditures incurred from the proceeds of crime totaling Rs 45 crore,” the statement stated.
Kejriwal “had the control over the proceeds of crime of Rs 100 crore at each stage, and thus the activity of generation, acquisition and possession, transfer use and concealment and projection of the same as untainted carried out on this proceeds of crime by Sh Arvind Kejriwal,” the allegation read.
According to the agency, Kejriwal could face punishment for his involvement in the money laundering violation under section 4 of the PMLA as well as “vicariously” as he is in charge of the AAP’s operations, which are considered a firm under section 70 of the PMLA.
Since Kejriwal was taken into custody on March 21 from his official Delhi home, the agency has recorded his statements eleven times. However, they claim that during his interrogation in custody, he provided “evasive replies” and “concealed information.”
The ED claimed to have confiscated multiple digital devices belonging to Kejriwal; however, he declined to open them, and this refusal was documented both verbally and visually during his interrogation.
According to the charge sheet, Kejriwal stated to ED interrogators in his defence that he is “not required” to divulge the password to these devices, as per the advice of his attorneys.
“Kejriwal, who holds the ultimate authority over the AAP, was inherently involved in formulating policies, executing payback schemes, and ultimately allocating the money obtained from criminal activities, including their conspiracy,” the Enforcement Directorate asserted.
It stated that Kejriwal, as the AAP’s national convenor and a member of the national executive, was ultimately in charge of allocating the cash for election expenses, including those associated with the Goa assembly elections.
According to the agency, Arvind Kejriwal was “through” Vinod Chauhan, another accused in the investigation, who was “managing postings” for officers in the Delhi Jal Board (DJB).
Out of the claimed 45 crore in kickbacks intended for the election campaign, Chauhan is accused of being in charge of transferring Rs 25.5 crore from Delhi to Goa.
According to admissions made by excise officials, who disclosed that they were never consulted on any significant policy decision, the GoM that the Delhi government had established is “a sham,” according to the ED.
As per the report, Kailash Gehlot, the minister of transport in Delhi, recorded his statement with the agency stating that he merely consented to the policy changes. He explained that he did so because Manish Sisodia, the former deputy chief minister of Delhi and minister of excise, was a senior leader and had informed him that raising the profit margin from 5% to 12% was a good proposal, so Gehlot accepted it.
The excise policy was allegedly implemented by AAP leaders as “a result of the conspiracy of quid pro quo to continuously generate and channel illegal funds to themselves and certain private individuals,” according to the ED.
According to the charge sheet, Kejriwal demanded kickbacks from the South Group in exchange for doing them favours during the formulation and implementation of the policy. Vijay Nair was also described as his “close associate” and served as a middleman for receiving bribes or kickbacks from various stakeholders in the Delhi liquor business in exchange for favourable outcomes in the policy being drafted.
According to the report, he assisted in arm-twisting several L1 wholesalers in Punjab whose businesses were being pursued by state officials after they refused to offer kickbacks to the AAP in Delhi.
The AAP officials and members of the South Group, together with K Kavitha, the leader of the BRS, “conspired to pay kickbacks to the tune of Rs 100 crore and receive undue benefits through Vijay Nair.”
According to the charge sheet, Kejriwal gave misleading information and evasive responses when being questioned in custody.
“When asked about the degree of Vijay Nair’s reporting and engagement with the accused Arvind Kejriwal, he replied that there was little to no interaction between him and Sh Vijay Nair and that Vijay Nair reported to Atishi Marlena and Saurav Bharadwaj instead.
It stated, as an example of his “misleading replies,” that Vijay Nair “reveals that he worked from the CM’s camp office and resided in a cabinet minister’s bungalow.”
The accused has even provided misleading testimony that is at odds with the facts and records that are at hand, as well as against other AAP members. The charge sheet further stated that “he has called them confused when confronted with the statements given by his party leaders.”
The excise case concerns allegations of money laundering and corruption during the development and implementation of the excise policy for 2021–2022 by the Delhi government, which was subsequently abandoned.
V K Saxena, the Lieutenant Governor of Delhi, had suggested that the CBI look into the purported anomalies. Following that, the ED filed a PMLA complaint.
In order to look into the claimed irregularities, the ED filed a money laundering case on August 22, 2022, taking note of a CBI FIR that had been filed on August 17, 2022.