Court Issues Notice to CBI on BRS Leader K Kavitha's Bail Plea in Excise Policy Case

The Rouse Avenue Court has issued a notice to the CBI on BRS leader K Kavitha’s bail plea in the Delhi Excise policy case. The hearing has been deferred to July 12. Kavitha's plea cites failure of CBI to file the complete charge sheet within the mandatory period.

In a significant development, the Rouse Avenue Court on Monday issued a notice to the Central Bureau of Investigation (CBI) in response to a bail plea from Bharat Rashtra Samithi (BRS) leader K Kavitha. Kavitha seeks a default bail in connection with the Delhi Excise policy case. Special judge Kaveri Baweja has scheduled the matter for further hearing on July 12.

Advocates Nitesh Rana and Mohit P Rao, representing Kavitha, argued that the court had previously noted the charge sheet as defective when considering it for cognizance on July 6. They asserted that the CBI failed to file a complete charge sheet within the required 60-day period. The defense requested default bail for Kavitha and asked for interim bail while the current bail application is pending.

Previously, both the trial court and the High Court dismissed her regular bail applications. Kavitha remains in judicial custody for both the CBI and a separate money laundering case. She was initially arrested by the Directorate of Enforcement (ED) on March 15, followed by her arrest by the CBI on April 11.

The ED has also filed a charge sheet against Kavitha in the Delhi Excise Policy money laundering case. Based on the findings of the Delhi Chief Secretary's report filed in July, the CBI inquiry was recommended, highlighting prima facie violations of the GNCTD Act 1991, Transaction of Business Rules (ToBR)-1993, Delhi Excise Act-2009, and Delhi Excise Rules-2010. Officials allege irregularities in the modification of the excise policy, granting undue favours to licence holders, waiving or reducing licence fees, and extending the L-1 licence without appropriate approval.

The probe agencies claim that the beneficiaries diverted illicit gains to the accused officials and falsified their books of accounts to escape detection. They further allege that the Excise Department refunded about Rs 30 crore in earnest money deposit against regulations. Without enabling provisions, a waiver on tendered licence fees was granted from December 28, 2021, to January 27, 2022, purportedly due to COVID-19, leading to an alleged Rs 144.36 crore loss to the exchequer.

(With inputs from agencies.)