In a notable development, the Supreme Court has granted interim bail to Delhi Chief Minister Arvind Kejriwal in the money laundering case related to the scrapped Delhi Excise Policy. The Enforcement Directorate (ED) initiated this case against Kejriwal. A Bench of Justices Sanjiv Khanna and Dipankar Datta acknowledged that certain legal questions raised by Kejriwal need to be examined by a larger bench of the court.
The Court, while referring these legal issues to a larger bench, ordered Kejriwal’s release on 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 stated.
Kejriwal was arrested by the ED on March 21, accused of being part of a criminal conspiracy involving Aam Aadmi Party (AAP) leaders, including Manish Sisodia, to exploit the Delhi Excise Policy of 2021-22 for the benefit of certain liquor sellers. It was alleged that funds from this scheme were used to finance AAP’s election campaign in Goa.
The Supreme Court’s order highlighted the need for a larger bench to consider the legal question regarding the “necessity to arrest” under Section 19 of the Prevention of Money Laundering Act (PMLA). Section 19 allows the ED to arrest someone if it has reason to believe they are guilty of an offence under the PMLA.
Senior Advocate Abhishek Manu Singhvi, representing Kejriwal, argued that the evidence cited by the ED to justify Kejriwal’s arrest was not available at the time of his arrest and was presented later. Singhvi contended that there was no new evidence against Kejriwal and that all material predated August 2023.
Additional Solicitor General SV Raju, arguing for the ED, stated that the ED does not need to provide the incriminating material at the time of arrest to prevent tampering with evidence and witness intimidation.
The Supreme Court noted that simply needing to interrogate a person does not justify their arrest. The court suggested that the “need and necessity” of arrest, as formal parameters, should be examined under Section 19 by a larger bench.
Despite being granted bail in the ED case, Kejriwal will remain in custody due to a separate case initiated by the Central Bureau of Investigation.
