A special court in Maharashtra's capital city Mumbai granted MP Raut bail three months after he was arrested. Special Judge M G Deshpande, designated to hear cases pertaining to the Prevention of Money Laundering Act (PMLA), allowed the bail plea of Raut after hearing arguments from both sides, according to news agency PTI.
The Enforcement Directorate (ED) had arrested Rajya Sabha member Raut in July this year for his alleged role in financial irregularities in connection with the redevelopment of the Patra Chawl (row tenement) in suburban Goregaon.
He is currently in judicial custody and lodged at the Arthur Road Jail in Mumbai. Raut had in his bail plea claimed the case against him was a perfect example of "abuse of power" and "political vendetta".
The ED had opposed Raut's plea, saying he played a major role in the money laundering case related to the Patra Chawl redevelopment and acted "behind the curtains" to avoid the money trail.
The ED's probe pertains to alleged financial irregularities in the redevelopment of the Patra Chawl and related financial transactions involving his wife and associates.
What is Patra Chawl Scam?
The alleged financial irregularities in the redevelopment of the Patra Chawl and the associated financial transactions involving Sanjay Raut, his wife and associates are the subject of the ED investigation.
In Goregaon, Siddharth Nagar, also known as the Patra Chawl, is 47 acres in size and houses 672 tenant families.
Guru Ashish Construction Private Limited (GACPL) received a redevelopment contract for the Chawl from the Maharashtra Housing and Area Development Authority (MHADA) in 2008.
The GACPL was supposed to construct 672 apartments for tenants and provide some apartments to MHADA as well. The remaining land could be sold to private developers at no cost.
However, as the company did not redevelop the Patra Chawl and instead sold land parcels and the Floor Space Index (FSI) to other builders for ₹1,034 crore, tenants did not receive a single apartment in the last 14 years.
