The Enforcement Directorate (ED) is likely to initiate a money laundering probe in connection with the CBI FIR relating to the framing and execution of the Delhi Government's excise policy in which Deputy Chief Minister Manish Sisodia is the prime accused. Sisodia’s premises along with other accused persons were searched by the CBI on Friday.
The ED is examining details of the CBI case, involvement of various Government officials and private individuals and the possible trail of ‘proceeds of crime’ generated in the process before it files a formal case under the Prevention of Money Laundering Act (PMLA), sources said.
On Friday, the CBI searched the Delhi residence of Sisodia, 50 besides that of IAS officer and former Delhi Excise Commissioner Arava Gopi Krishna and 29 other locations across seven States and Union Territories after it registered an FIR to investigate alleged irregularities in the formulation and execution of the Delhi Excise Policy brought out in November last year.
The policy was scrapped by the Delhi Government in July. Sisodia holds multiple portfolios in the Chief Minister Arvind Kejriwal-led Delhi Government including that of Excise and Education.
The scheme came under the scanner after Delhi Lt Governor V K Saxena last month recommended a CBI probe into alleged irregularities in the implementation of the Excise Policy 2021-22. He also suspended 11 excise officials in the matter.
Sisodia too demanded a CBI probe into the alleged irregularities in the policy. The CBI enquiry was recommended based on the Delhi chief secretary's report filed in July showing prima facie violations of the GNCTD Act 1991, Transaction of Business Rules (ToBR)-1993, Delhi Excise Act-2009 and Delhi Excise Rules-2010, officials said.
The ED will analyse if individuals and companies who were involved in the policy making and related entities generated any "proceeds of crime under the definition of PMLA" and if there was any possible creation of illegal or benami assets, sources said.
The agency has powers to attach such assets and question, arrest and prosecute those who indulge in the offence of money laundering.
According to officials, the chief secretary's report had shown prima facie violations, including "deliberate and gross procedural lapses", to provide post-tender "undue benefits to liquor licensees" through the policy.
It is alleged that undue financial favours were extended to liquor licensees after the tenders were awarded, causing loss to the exchequer. The Excise Department gave a waiver of Rs 144.36 crore to the licensees on the tendered licence fee on the excuse of Covid-19, sources claimed. The Excise Department also refunded the earnest money of Rs 30 crore to the lowest bidder for the licence of the airport zone when it failed to obtain a no-objection certificate (NOC) from airport authorities, they said.
"It was in gross violation of rule 48(11)(b) of the Delhi Excise Rules, 2010, which clearly stipulates that the successful bidder must complete all formalities for the grant of the licence, failing which all deposits made by him shall stand forfeited to the Government," a source said.