Chhattisgarh police to probe into ‘excise evasion’ under 2012 BJP regime

The Chhattisgarh Economic Offences Wing (EOW) has initiated an investigation into alleged evasion of excise duty during 2012 to 2017 when the Bharatiya Janata Party (BJP) was in power in the state

The Chhattisgarh Economic Offences Wing (EOW) has initiated an investigation into alleged evasion of excise duty during 2012 to 2017 when the Bharatiya Janata Party (BJP) was in power in the state, in a move widely seen as an attempt to counter the now-stayed Enforcement Directorate (ED) probe iinto a similar fraud under the Congress government.

The Chhattisgarh economic offences wing (EOW) initiates probe into evasion of excise duty during 2012 to 2017 during BJP government. (HT Archive)

A senior Chhattisgarh police officer said a private complaint was received last month regarding evasion of excise duty between 2012 and 2017 to help “certain people” of the then ruling party. “Following the complaint, the state EOW has summoned around 40 people, including excise officers, liquor contractors and some businessmen in the last two months,” the officeradded, requesting anonymity.

A senior EOW official said no first information report (FIR) has been registered yet.

“We are questioning people including the contractors, liquor businessmen and excise officers who were involved in alleged excise duty evasion,” the EOW official said, declining to be named. “An FIR will be registered after investigation.”

The officer refused to divulge details of the complainant, saying since both complainant and the accused parties are from Chhattisgarh their names cannot be shared for security reasons.

The officer said that the excise policy was changed in 2017, enabling the state government to directly involve in sale of liquor. “Prior to 2017, liquor was sold by private contractors, who are now distillers. We have asked for year-wise figures from the excise department about liquor sold and excise duty paid by the contractors,” the officer added.

The ongoing probe aims to find out the exact quantum of evasion of excise duty during 2012-17 and the number of people involved in it, the officer further said. “We have also asked the excise department to provide details about what action, if any, was taken by officers against these contractors between 2012 and 2017 and how many seizures took place across the state.”

The EOW probe has come close on the heels of ED arresting five people during its money laundering probe in connection with an excise scam in the Congress-ruled state. In November 2022, the federal agency started its probe alleging that ₹2,161 crore of corruption money was generated in the liquor “scam” between 2019 and 2023 through multiple methods.

Raipur mayor and Congress leader Aijaz Dhebar’s elder brother Anwar Dhebar was the first person to be arrested by ED in the case in May this year. Of the five people arrested by ED in the case so far, four are currently out on bail.

On July 18, the Supreme Court stayed the ED probe after the Chhattisgarh government argued that the federal agency was conducting an investigation without any jurisdiction and with the “sole objective of implicating chief minister Bhupesh Baghel”.

The EOW probe, months before the crucial assembly elections in Chhattisgarh is being seen by many as the state government’s attempt to counter the ED investigation.

The EOW officer cited above, however, said the two investigations are different.

“The ED submitted their charge sheet in July in their case and they have also handed over a list of officers to the state government on whom they demanded action under Prevention of Corruption Act (PMLA),” the officer said.

The opposition BJP termed the EOW probe a “political stunt” by the Congress government.

“This is an attempt of Congress to save its image. This is political because investigation started a few months ahead of elections,” state BJP chief spokesperson Ajay Chandrakar said. “We are ready for any investigation but it should have started four years back when they formed the government.”

The Congress, however, said the investigation is “fair” and “non-political”.

“It was ED which started a political investigation. Our government wants a fair investigation to know about the evasion of excise duty,” Congress spokesperson Shushil Anand Shukla said. “People should know what happened during BJP rule.”