AAP committed ‘money laundering’ through Arvind Kejriwal: Enforcement Directorate

Samad Hoque

New Delhi, March 24

When Chief Minister Arvind Kejriwal was presented before a Delhi court, with the Enforcement Directorate (ED) seeking his remand, the investigative agency asserted that the AAP could be accused as a “company” under Section 70 of the Prevention of Money Laundering Act (PMLA).

In its remand document, the probe agency stated that the party was the primary beneficiary of proceeds generated in the liquor policy scam, with funds amounting to Rs 45 crore being utilised in the party’s election campaign during the Goa Assembly elections in 2022. Section 70 of the PMLA pertains to offences committed by companies.

The agency alleged that the AAP engaged in money laundering through Kejriwal. Furthermore, it contended that since the party is registered under Section 29A of the Representation of People Act, 1951, it qualifies as an association or body of individuals.

As per the definition under Section 2(f) of the Act, a political party is defined as an association or body of individual citizens of India registered with the Election Commission as a political party under Section 29A. Since the AAP is also an association of individuals, it would fall within the definition of a “company”.

According to the constitution of AAP, the national level is the highest structure, and since Kejriwal is the national convener of the party, he is in charge at the national level. As the national convener and member of the national executive, he was ultimately responsible for the funds used in election expenses. The national executive is the highest executive body of the party.

“Kejriwal was, at the time of offences under the PMLA, in charge of and responsible for the said ‘company’, i.e., AAP, for the conduct of business,” the remand copy read.

The ED has alleged that Kejriwal has also been intrinsically involved in the entire conspiracy of the Delhi liquor scam, wherein the policy was drafted and implemented in a manner where certain private persons were favoured and benefited in a quid pro quo of receiving kickbacks. It has been alleged that the CM had hatched the conspiracy with the South Group and eventually used the proceeds to further fund the election campaign.