The CBI and ED opposed the bail plea, expressing concerns about potential evidence tampering and witness influence. They presented detailed arguments outlining Kavitha’s alleged involvement in the excise policy case, emphasizing the necessity of her continued custody to ensure a fair investigation.
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NEW DELHI: Today (28th May): The Delhi High Court reserved its decision on the bail plea submitted by BRS leader K Kavitha concerning the Delhi excise policy case, which involves the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED).
READ ALSO: [Delhi Excise Scam] Delhi Court Reserves Order on BRS Leader K Kavitha’s Bail Plea
The verdict was reserved by a bench presided over by Justice Swarana Kanta Sharma.
In the hearings, K Kavitha’s counsel argued for her release on bail in both cases, stressing her cooperation with the investigative agencies and asserting her non-involvement in any criminal activities.
On May 6, the city court denied K Kavitha’s bail in the case registered by the ED, stating there appeared to be a “prima facie” case suggesting her involvement in money laundering related to the Delhi excise policy case.
In rejecting bail for the CBI case, the court determined that her role “prima facie” appeared to be that of a key conspirator in the collection and payment of upfront money to the Aam Aadmi Party (AAP) through co-accused individuals to secure favorable provisions in the excise policy.
K Kavitha, a BRS leader, was arrested by the Central Bureau of Investigation (CBI) while in judicial custody for an Enforcement Directorate (ED) case.
The CBI’s remand application mentioned the necessity of her arrest for custodial interrogation to establish the larger conspiracy related to the formulation and implementation of the Excise Policy. It also aims to uncover the money trail of illicitly obtained funds and the involvement of other accused individuals, including public servants.
The ED had previously arrested K Kavitha, a Member of the Legislative Council (MLC) in Telangana, on March 15 in connection with the alleged liquor policy scam. The CBI initiated its inquiry based on the Delhi Chief Secretary’s report, which highlighted prima facie violations of various acts and rules governing the Excise Policy.
CBI remand application stated that Kavitha Kalvakuntla’s arrest was necessary for her custodial interrogation to confront her with evidence and witnesses, uncovering a broader conspiracy related to the formulation and execution of the Excise Policy. Additionally, it aimed to trace the money trail of illegally obtained funds and establish the involvement of other accused individuals, including public servants, as well as reveal information exclusive to her knowledge.
The CBI and the ED have alleged irregularities in the modification of the excise policy, including granting undue favors to license holders, waiving or reducing license fees, and extending the L-1 license without proper approval. The beneficiaries of these actions allegedly diverted illegal gains to the accused officials and manipulated their account books to evade detection.
READ ALSO: BREAKING|| K Kavitha Appeals to Delhi High Court for Bail: Money Laundering Case
According to the allegations, the Excise Department decided to refund approximately Rs 30 crore as earnest money deposit to a successful tenderer, violating the established rules. Furthermore, due to the COVID-19 pandemic, a waiver on tendered license fees was allowed between December 28, 2021, and January 27, 2022, despite the absence of a legal provision. The probe agencies claim that these actions resulted in an alleged loss of Rs 144.36 crore to the exchequer.
