Supreme Court seeks ED response to Abhishek Boinpallys plea challenging legality of arrest

New Delhi: The Supreme Court on Friday sought the Enforcement Directorate's (ED) response to a plea filed by businessman Abhishek Boinpally, who has been arrested in a money-laundering case related to the alleged Delhi excise policy scam. The court also sought the agency's reply by November 20.

Background of the Case

A bench of Justices Sanjiv Khanna and S V N Bhatti issued a notice to the ED and sought the agency's reply by November 20. The court was hearing Boinpally's plea against a Delhi High Court order that dismissed his plea challenging the legality of his arrest. Boinpally had challenged his arrest before the high court on the ground of non-compliance of section 19 of the Prevention of Money Laundering (PMLA) Act, which deals with the procedure for arrest.

Arguments Presented in Court

Senior advocate Mukul Rohatgi, appearing in the court on behalf of Boinpally, referred to a recent apex court judgment and said the ED must furnish the reasons of arrest to the accused in writing. The top court said it will take up the matter along with Boinpally's bail plea, in which a notice was issued on August 11, on the next date of hearing.

Delhi Excise Policy Scam

The Delhi government had implemented the excise policy for 2021-22 on November 17, 2021, but scrapped it at the end of September 2022 amid allegations of corruption. According to the Central Bureau of Investigation (CBI) and the ED, irregularities were committed while modifying the excise policy and undue favours extended to the license holders.

Money Laundering Case

The money-laundering case stems from the CBI FIR, which was lodged after Delhi Lieutenant Governor V K Saxena recommended a probe into the alleged irregularities in the implementation of the excise policy. It has been claimed that Boinpally was part of clandestine meetings and was involved in a conspiracy to launder money along with another accused, Sameer Mahendru, a businessman dealing in liquor.

The Supreme Court's decision to seek the ED's response in Abhishek Boinpally's money-laundering case will have a significant impact on the ongoing investigation. The court's ruling on the legality of Boinpally's arrest and the subsequent bail plea will be closely watched by legal experts and the public alike.