L-G recommends CBI probe into Delhi govt's excise policy

New Delhi: The Delhi Lieutenant Governor V K Saxena has recommended a CBI probe into its Excise Policy, 2021-22 over alleged violations of rules and procedural lapses, even as Chief Minister Arvind Kejriwal alleged that his ministers are being targeted because of the AAP's growing popularity across the country. He defended his deputy Manish Sisodia as a "kattar imandar" and claimed that he could be framed in a "fake" case and arrested in a few days.

According to officials, the inquiry by the Central Bureau of Investigation (CBI) was recommended on a basis of a report filed by the Delhi chief secretary earlier this month, showing prima facie violations, including "deliberate and gross procedural lapses", to provide post-tender "undue benefits to liquor licensees" through the policy. A copy of the report was also sent to the chief minister, they said.

The AAP alleged that the CBI probe was recommended by the L-G at the behest of the BJP-led Centre to implicate Sisodia, who xcise department of the Delhi government, in a fake case and keep the Kejriwal-led party at bay in the upcoming Assembly polls.

"This case will not hold in a court. Manish is a hardcore honest man and he will walk free," Kejriwal told a press conference.

The chief minister abstained from his weekly Friday meeting with the L-G scheduled for 4 pm. The Delhi government refuted claims that Kejriwal was unwell but did not put forward any reason for him not being available for the meeting.

"I came to know that a case has been sent to the CBI against Manish Sisodia and the agency is going to arrest him in a few days. It is a completely fake case. There is not even an iota of truth in this case," Kejriwal said at an online briefing.

The AAP national convenor said he has known Sisodia for 22 years and vouched for his honesty, saying he worked round the clock to improve the standard of the government schools in Delhi.

In an apparent reference to the Centre, Kejriwal said "these people" are after the AAP because the entire country is convinced that it is an "honest" party.

Kejriwal said the AAP's "storm" is blowing across the country since its victory in the Punjab Assembly polls earlier this year.

"These people want to stop it.... They do not want the AAP to become their challenger in the country," he added.

"Do whatever you want. You can throw as much mud as you want, but it is not sticking to us. We are clean. We walk the path of truth and the god is with us," the Delhi chief minister said.

He said the AAP has become the hope of the people of India, asserting that nobody can now stop his party from expanding its base across the country. Referring to the recent arrest of Delhi Health Minister Satyendar Jain in a money-laundering case by the Enforcement Directorate (ED), Kejriwal alleged that his ministers are being targeted because of the AAP's growing popularity across the country.

A new system has been brought in the country, he said, adding, "First, it is decided who has to be sent to jail. Then a fabricated and fake case is made against him and he is forcibly sent to jail."

"You put Satyendar Jain and Manish Sisodia in jail. Put Arvind Kejriwal in jail too. Crucify him. Many more Arvind Kejriwal will come out, many more Manish Sisodia will come out and the country will move forward," Kejriwal said.

"All of you (BJP leaders) are the children of (Vinayak Damodar) Savarkar, who had apologised to the British. We are the children of Bhagat Singh, we consider Bhagat Singh, who refused to bow before the British, our idol.... We are not afraid of jail and the hanging noose," he added.

Sisodia also responded to the development, saying Prime Minister Narendra Modi is scared of Kejriwal and adding that more "fake cases" will be registered against AAP leaders as the party's influence grows across the country.

Sources said the L-G has found "substantive indications" of "financial quid pro quo" at the "top political level" in the AAP government, wherein the excise minister "took and got executed major decisions in violation of statutory provisions" and notified the excise policy that had "huge financial implications".

"He also extended undue financial favours to the liquor licensees much after the tenders were awarded and thus, caused huge losses to the exchequer," one of the sources said.

The excise department gave a waiver of Rs 144.36 crore to the licensees on the tendered licence fee under the excuse of COVID-19, the sources claimed, adding that it also refunded the earnest money of Rs 30 crore to the lowest bidder for the licence of the airport zone, when it failed to obtain a no-objection certificate (NOC) from the airport authorities.

"It was in gross violation of rule 48(11)(b) of the Delhi Excise Rules, 2010, which clearly stipulates that the successful bidder must complete all formalities for the grant of the licence, failing which all deposits made by him shall stand forfeited to the government," one of the sources said.

Further, the excise department, in its November 8, 2021 order, revised the formula of calculation of rates of foreign liquor and removed the levy of the import pass fee of Rs 50 per case of beer "without the approval of the competent authority", making it cheaper for retailers and causing loss of revenue to the state exchequer, the sources claimed.

The "lapses" in awarding licences for liquor vends were also reported by the chief secretary and the excise department relaxed provisions of the tender document to provide undue financial favours to the retailers, instead of acting against them for default in the payment of the licence fee, the interest and the penalty for non-genuine reasons, the sources said.

Some of Sisodia's decisions were also red-flagged by the then L-G as those were taken without the approval of the Delhi cabinet, they added.

"The illegal decisions taken in the past were attempted to be legalised by getting the stamp of a post-facto cabinet decision as recently as on July 14, which in itself was in violation of the laid down rules and procedures," one of the sources said.

The Excise Policy, 2021-22 was implemented from November 17 last year and retail licences were issued under it to private bidders for 849 vends across the city, divided into 32 zones.

The policy prepared on the basis of an expert committee report that was further firmed up by a Group of Ministers (GoM) headed by Sisodia aims at reforming the liquor trade in Delhi through steps such as checking malpractice and evasion of duty among others.

Several of its provisions such as slashing the number of dry days to three from 21 per year, the government's exit from retail liquor sale, allowing bars in hotels, restaurants to stay open till 3 am (awaiting police permission) and the retail licensees to offer rebates and schemes on alcohol were implemented by the excise department.

However, under the policy, many liquor stores failed to open for being located in non-conforming areas of the city. Several such vends were sealed by the municipal corporations for violations of the Master Plan.

The BJP and the Congress had vociferously opposed the policy and lodged complaints with the L-G as well as central agencies for a probe into it. The 2021-22 policy, which has come under the scanner, was extended by two months up to July 31 as its term ended on April 30. The excise department is working on the Excise Policy, 2022-23 that will allow home delivery of liquor among other things.

with agency inputs