Delhi excise policy case: Accused sent to judicial custody

The policy was scrapped when lieutenant governor Vinai Kumar Saxena recommended a probe into alleged irregularities

A Delhi court on Wednesday sent Gautam Malhotra to 14-day judicial custody in connection with the case related to alleged irregularities in the now-scrapped 2021-22 excise policy. On February 8, the court sent Malhotra in seven-day Enforcement Directorate (ED) custody.

ED filed a supplementary complaint in the case on January 6. (Shutterstock)

The court sought ED’s reply on an application Malhotra’s lawyer, Ramesh Gupta, submitted seeking a copy of the grounds for his client’s arrest. It agreed to hear Gupta’s application on March 1.

ED earlier alleged Malhotra was part of a cartel of liquor manufacturers, wholesalers, and retailers and generated proceeds of crime worth Rs. 2.5 crore out of the 12% profit margin was allegedly handed over to Dinesh Arora through Amit Arora allegedly for ruling Aam Aadmi Party (AAP) leaders.

ED filed a supplementary complaint in the case on January 6 naming 17 accused including businessman Sameer Mahendru, Vijay Nair, P Sarath Chandra Reddy, Benoy Babu, Abhishek Boinpally, and Amit Arora as well as 11 companies in the case.

ED has alleged that Mahendru was one of the kingpins and major beneficiaries involved in the payment of kickbacks. He was also allegedly involved in the formation of a cartel and monopoly.

The policy was scrapped when lieutenant governor Vinai Kumar Saxena recommended a probe into alleged irregularities.