The Delhi Rouse Avenue Court on Tuesday allowed 2 accused, Raghav Magunta Reddy and Dinesh Arora, to become approver in the Delhi excise policy money laundering case. The Court also pardoned them in the case while allowing their plea to become approver.
Earlier, the court allowed businessman Sarath P Reddy to turn approver in the case. A total of 3 accused have been turned approver in ED’s case. Arora has been declared an approver in the same case being investigated by the CBI.
Earlier, Arora’s lawyer stated that his statements are being relied upon by the ED in various prosecution complaints. This court, while rejecting bail, has “relied on his statement”, submitted Senior Advocate Vikas Pahwa.
According to ED, considered close to jailed Aam Aadmi Party leader Manish Sisodia, Arora is the 13th person arrested in the case by the ED.
Magunta Raghava Reddy, the son of Yuvajana Sramika Rythu Congress Party’s MP from Ongole Magunta Srinivasulu Reddy, was arrested by the ED on February 10 in connection with the Delhi excise policy scam case.
Earlier, Raghav Magunta’s regular bail plea was also dismissed by the trial court in April, where the judge stated, “The court is prima facie of the view that there is a genuine case made out by the investing agency showing active involvement of the applicant in the commission of the alleged offence of money laundering, and this court is not able to arrive at any finding contrary to the stated view”.
Therefore, ED told the Court that Raghav, through his proxy person Prem Rahul Manduri, also held 32.5 pc stakes in M/s Indo Spirits, which held the L1 wholesale licence. Raghav, being part of the South Group, was part of and beneficiary of the conspiracy in which the South Group paid Rs. 100 crore, approx., to the AAP party.
ED earlier stated that Raghav Magunta is one of the key people in the conspiracy of cartelization and kickbacks hatched along with various persons in the Delhi Excise Policy 2021-22 scam. Raghav Magunta is the owner of liquor manufacturing units in the name of M/s Enrica Enterprises Pvt. Ltd., located in Chennai.
Furthermore, he controlled 2 retail zones in the name of M/s Magunta Agro Farms Pvt Ltd directly in contravention of the Excise Policy 2021-22 where a manufacturer was not permitted to hold either retail or wholesale operations.
Raghav, being part of the South Group, was part of and beneficiary of the conspiracy in which the South Group paid Rs. 100 crore, approx., to the AAP, said ED.
Last year, ED and CBI registered cases alleging that irregularities were committed while modifying the excise policy, undue favours were extended to licence holders, the licence fee was waived or reduced, and the L-1 licence was extended without the competent authority’s approval.
The beneficiaries diverted “illegal” gains to the accused officials and made false entries in their books of account to evade detection.