Delhi Excise policy case: SC seeks ED, CBI reply on K Kavitha's bail plea

On Monday, the Supreme Court issued notices to the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) in response to the bail petitions filed by Bharat Rashtra Samithi (BRS) leader K Kavitha, as reported by Bar and Bench.

A bench consisting of Justices BR Gavai and KV Viswanathan scheduled the matter for a hearing on August 20.

Senior advocate Mukul Rohatgi, representing Kavitha, argued that she has been incarcerated for five months and is entitled to bail.

Rohatgi further contended that Kavitha’s situation is similar to that of Delhi Chief Minister Arvind Kejriwal and former Deputy Chief Minister Manish Sisodia, both of whom have been granted bail by the Supreme Court — Kejriwal on an interim basis and Sisodia on a regular basis, as quoted by Bar and Bench.

Kavitha’s bail plea rejection by High Court

Kavitha’s bail pleas were rejected by the Delhi High Court on July 1, leading her to appeal to the Supreme Court.

In its decision to deny bail, the high court stated that it was not the appropriate time to grant regular bail as the investigation was at a critical juncture.

The court dismissed her plea for relief based on her gender, asserting that as an educated individual and a former MP, Kavitha could not be considered a vulnerable woman. The court had emphasised the “serious allegations” against her.

The court expressed its view that K Kavitha was, prima facie, one of the principal conspirators in the criminal plot related to the formulation and implementation of the Delhi Excise Policy 2021-22.

The high court also noted that the evidence gathered by the ED indicated Kavitha’s role as one of the key figures in orchestrating the entire conspiracy surrounding the policy’s creation and execution.

BRS leader’s arrest

Kavitha was initially arrested by the ED on March 15 in Hyderabad and was later taken into custody by the CBI on April 11.

Both the CBI and the ED have accused her of participating in bribery and money laundering activities related to the Delhi Excise Policy. On May 6, the trial court denied Kavitha’s bail requests in both the CBI and ED cases.

The case against Kavitha and others date back to 2022, when the CBI registered an FIR alleging that the Delhi Excise Policy of 2021-22 was manipulated to enable monopolisation and cartelisation of the wholesale and retail liquor trade in Delhi.

According to the CBI and ED, certain individuals and groups from South India profited from this scheme, with a portion of these profits allegedly being funnelled to the Aam Aadmi Party (AAP) to support its campaign for the Goa assembly elections.

Kavitha is among several political figures arrested in connection with the case, alongside Delhi Chief Minister and AAP national convener Arvind Kejriwal, as well as AAP leaders Sanjay Singh and Manish Sisodia (who are currently out on bail). The AAP itself has also been named as an accused party in the case.