Why Punjab Minister Sanjeev Arora Is In ED Custody

Punjab's Industries Minister Sanjeev Arora has been remanded to seven days of ED custody in a money laundering case involving GST fraud and alleged round-tripping of funds from Dubai.

Key Points

Punjab Industries Minister Sanjeev Arora has been sent to seven days of ED custody in connection with a money laundering case.
The ED arrested Arora following raids related to a GST fraud case involving fake purchases of mobile phones.
The investigation involves alleged illegitimate funds routed from Dubai to India through fake GST purchase invoices.
Arora's lawyer claims the case is politically motivated, while the ED sought a 10-day remand.
Punjab Chief Minister Bhagwant Mann and Arvind Kejriwal have criticised the ED action, accusing the Centre of misusing agencies.

A court in Gurugram has sent Punjab's Industries Minister Sanjeev Arora to seven days of ED custody in a money laundering case, officials said on Sunday.

Arrest and Allegations Against Sanjeev Arora

Arora, 62, was arrested on Saturday evening from his official residence in Chandigarh by the Enforcement Directorate (ED) in a GST fraud case following raids against him.

The central agency had also searched the premises of a company linked to Arora, Hampton Sky Realty Ltd, in Gurugram. The company said it had faith in the legal process and was fully cooperating with all the statutory authorities.

Arora was brought by the ED sleuths to Gurugram, Haryana, from Chandigarh by road, the officials said.

The special Prevention of Money Laundering Act (PMLA) court in Gurugram sent Arora to seven-day ED custody. The agency had sought his 10-day remand, they said.

Political Reactions and Defence

The minister's lawyer told reporters that the ED registered the case on May 5 and arrested Arora on May 9. He claimed this was a "politically motivated" case.

According to the ED, the probe under the PMLA pertains to "fake" GST purchases of mobile phones worth more than Rs 100 crore and subsequent exports to "round trip" alleged illegitimate funds from Dubai to India.

The agency alleged that multiple fake GST purchase invoices were acquired from "non-existing" firms in Delhi to falsely claim Input Tax Credit (ITC).

AAP's Condemnation and BJP's Response

Punjab Chief Minister Bhagwant Mann and Aam Aadmi Party (AAP) supremo Arvind Kejriwal condemned the ED action, accusing the Centre of using agencies like the ED and the Central Bureau of Investigation as "weapons" to scare opposition leaders into joining the BJP.

The BJP hit back, saying Kejriwal and his party were rattled as they knew that "their days are numbered in Punjab".

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