Special Judge (PC Act) Kaveri Baweja of Rouse Avenue Courts on Tuesday sent Bharat Rashtra Samithi (BRS) leader K. Kavitha to 15 days judicial custody in connection with the Delhi excise policy case.
Ms. Kavitha, daughter of former Telangana Chief Minister K. Chandrashekar Rao, was arrested by the Enforcement Directorate (ED) on March 15 from her residence in Hyderabad and has been in the agency’s custody since then. On March 22, the Supreme Court denied her urgent relief on her plea challenging the arrest.
In the remand application, ED alleged that Kavitha was “one of the conspirator and beneficiary” of the excise policy scam.
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On Tuesday, the ED requested the court to send her to 15 days of judicial custody. The agency claimed that the arrestee was highly influential and there was every likelihood that she would influence the witnesses and tamper with the evidence if released; this could hamper the ongoing investigation. The ED also claimed that the accused needed to be interrogated further.
“Investigation into economic crimes is more complex than the ordinary crimes as economic offenders are resourceful and influential persons having deep roots in the society and commit the said crimes in a carefully planned and meticulous manner, thereby rendering the investigation process a complicated exercise,” the ED claimed.
The ED said their investigations revealed that Ms. Kavitha was involved in the payment of kickbacks to government functionaries to gain illegal benefits in the Delhi Excise Policy 2021-22 formulation and implementation.
“Ms. K. Kavitha (through her proxy Sh Arun Pillai) was a partner in M/s Indo Spirits which is a vehicle for recoupment of the advance kickbacks paid and to generate further proceeds of crime. Also, that she is actually involved in the transfer of PoC of Rs. 100 Cr through her staff/associates-s Abhishek Boinpaly and Sh Buchi Babu which was paid to the AAP [Aam Aadmi Party] leaders,” the ED claimed.
The ED added that Ms. Kavitha, along with other members of the South Group i.e. Sarath Reddy, Raghav Magunta and Magunta Srinivasulu Reddy, conspired with the top leaders of AAP and gave them kickbacks.
It was further alleged that Ms. Kavitha had established the money laundering ecosystem i.e. M/s Indo Spirits through her proxy, which generated proceeds of crime of ₹192.8 crore.
