Delhi excise policy case: The Enforcement Directorate (ED) on Monday (March 18) alleged that Bharat Rashtra Samithi (BRS) leader K Kavitha, along with others, had "conspired" with top Aam Aadmi Party (AAP) leaders, including Chief Minister Arvind Kejriwal and former Deputy Chief Minister Manish Sisodia, for getting favours in the revoked Delhi excise policy by paying Rs 100 crore to the ruling political party in Delhi.
Kavitha, daughter of former Telangana Chief Minister K Chandrashekar Rao, was arrested by the federal agency on Mrach 15 from her residence in Hyderabad and is currently in the custody of the ED until March 23.
Here's what ED claims
The ED claimed in a statement, "Kavitha along with others conspired with the top leaders of AAP including Arvind Kejriwal and Manish Sisodia for getting favours in the Delhi excise policy-formulation and implementation. In exchange of these favours, she was involved in paying Rs 100 crore to the leaders of AAP."
It said that through alleged acts of "corruption and conspiracy" in formulating and executing the Delhi excise policy 2021-22, illegal funds in the shape of kickbacks from wholesalers were purportedly generated for the AAP. "Kavitha and her associates were to recover the proceeds of crime paid in advance to AAP and to further generate profits/proceeds of crime from this entire conspiracy," it alleged.
Kavitha arrested in liquor scam case
Hours after being arrested in connection with the alleged Delhi excise policy-linked money laundering case, Bharat Rashtra Samithi (BRS) MLC K Kavitha was brought to the office of the Directorate of Enforcement (ED) in the national capital on Saturday (March 16).
Kavitha, the daughter of BRS founder and former Telangana CM K Chandrasekhar Rao, was arrested after a day-long questioning followed by a raid at her Hyderabad residence.
As per reports, ED recovered around five mobile phones from K Kavitha's house during the search. Statement of a witness who was present at the spot said that ED showed the search warrant but Kavita did not allow them for the investigation. After some time, the search operation was started.
The agency, while seeking the remand of Kavitha last week, told the special Prevention of Money Laundering Act (PMLA) court that she was "one of the kingpins, a key conspirator and beneficiary of the Delhi excise policy scam".
CBI probe in money laundering case
Earlier, the CBI also questioned Kavitha in connection with the money laundering case. The ED case was filed after taking cognisance of the CBI's FIR.
According to ED, Hyderabad-based businessman Arun Ramchandra Pillai, who was arrested last year in the case, "is one of the key persons in the entire scam involving payments of huge kickbacks and formation of the biggest cartel of the South Group". "South Group" comprises Telangana MLC Kavitha, Sarath Reddy (promoter of Aurobindo Group), Magunta Srinivasulu Reddy (MP, Ongole), his son Raghav Magunta, and others, the probe said. The South Group was being represented by Pillai, Abhishek Boinpalli and Butchi Babu, the federal agency said during its investigation.
The ED stated that it has carried out searches at 245 locations nationwide since the case was registered in 2022, resulting in the arrest of 15 individuals, including former Delhi Deputy CM and AAP leaders Manish Sisodia, Sanjay Singh, and several liquor businessmen. Till date, six chargesheets have been filed in this case, and assets worth over Rs 128 crore have been attached.
The ED and the CBI have accused the Delhi government's excise policy of facilitating cartelisation and showing favouritism towards specific dealers who purportedly paid bribes for it, an allegation vehemently denied by the AAP.
Following this, the policy was annulled, and Delhi Lieutenant Governor V K Saxena advocated for a Central Bureau of Investigation (CBI) inquiry into the irregularities observed in its creation and execution. Subsequently, the ED initiated a case under the Prevention of Money Laundering Act (PMLA).
(With PTI inputs)
Also Read: Delhi Liquor Policy scam: BRS leader K Kavitha moves Supreme Court challenging her arrest
Also Read: Delhi Liquor Policy scam: Court sends BRS leader K Kavitha to ED custody till March 23
