Rehan Khan
In a notable turn of events, The Hon’ble Supreme Court on 12th July granted interim bail to Delhi Chief Minister Arvind Kejriwal in the money laundering case initiated by the Enforcement Directorate (ED) concerning the now-abandoned Delhi Excise Policy.
A Bench of Justices Sanjiv Khanna and Dipankar Datta highlighted the need of a larger bench of the apex Court to hear the matter and address the questions raised by the Chief Minister challenging his arrest. Therefore, while referring the matter to a larger bench, the Court deemed fit to grant Kejriwal interim bail.
“Given that right to life is concerned and since the matter is referred to a larger bench, we direct Arvind Kejriwal to be released on interim bail”, the Court ordered.
This is the second time that the Court has released Kejriwal on interim bail. The first was granted to him on 10th May, to let the Chief Minister campaign for the Lok Sabha elections.
The prime question before the Hon’ble Court today was about the “need and necessity to arrest” him under the Prevention of Money Laundering Act (PMLA).
The Court noted that mere “need for interrogation” cannot be the sole ground for arrest under Section 19 of the PMLA. Another important question before the Court was whether the accused could raise the “need and necessity of arrest” as a ground to quash the arrest. Both the questions have been referred to the larger bench. Now, it is upon the larger bench whether to extend or recall the interim bail.
Notably, the division bench remained unsure of whether it could issue a direction to Kejriwal, a duly elected Chief Minister, to step down from the post of Chief Minister, Delhi. As such, it left it upon the AAP chief to take a call.
Kejriwal was arrested by the ED on 21st March, in a case alleging that Aam Aadmi Party (AAP) leaders, including Manish Sisodia and others devised a criminal conspiracy to create loopholes in the 2021-22 Delhi Excise Policy to benefit specific liquor sellers. . The investigation agencies asserted that the funds obtained from this scheme were utilized to support the AAP’s election campaign in Goa.
The ED has alleged Mr. Kejriwal’s involvement in the channelling of ₹45 crore in “kickbacks” out of a ₹ 100 crore in “bribe” to AAP coffers to campaign for the Goa Assembly elections in 2022.
Senior Advocate AM Singhvi, appearing on behalf of Kejriwal, argued that the ED had no proof to show that any money was deposited in Kejriwal’s accounts, or were used in the Goa election campaign.
Despite the Supreme Court granting interim bail to Arvind Kejriwal in the ED case, his release from jail remains pending due to his continued custody under a separate investigation by the Central Bureau of Investigation (CBI). The larger questions surrounding the necessity and grounds for his arrest under the Prevention of Money Laundering Act (PMLA) will now be examined by a larger bench of the apex Court, potentially setting significant legal precedents for future cases.
Case name: Arvind Kejriwal v. Directorate of Enforcement
Case no.: SLP(Crl) 5154/2024
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