Hyderabad: A Delhi court on Friday cleared Telangana Jagruthi president Kalvakuntla Kavitha in the Delhi Liquor Policy case, dismissing all charges filed against her by the CBI. The Rouse Avenue Court held that the agency failed to establish the allegations and found material deficiencies in the charge sheet.
The court extended relief to 22 other accused, including Kavitha’s auditor Buchi Babu, Delhi Chief Minister Arvind Kejriwal and former minister Manish Sisodia. It observed that the prosecution had not presented legally sustainable evidence to substantiate wrongdoing. Consequently, the court discharged all 23 accused in the case.
Special CBI Judge Jitender Singh issued the orders after hearing final arguments. The court noted that the investigating agency did not demonstrate a clear evidentiary basis to proceed to trial. Therefore, it concluded that the charges could not be sustained.
Kavitha had earlier been arrested and later released on bail after spending time in judicial custody. The case had been under investigation for over two years. With the present ruling in the Delhi Liquor Policy case, proceedings against her stand closed at the trial court level.
Background of the Delhi Liquor Policy case
The controversy arose after the Delhi government introduced a new excise policy for 2021–22. Allegations surfaced that irregularities occurred in the formulation and implementation of the policy. In July 2022, Delhi Lieutenant Governor V K Saxena recommended a CBI inquiry into the matter.
A report by the then Delhi Chief Secretary had claimed that the waiver of certain licence fees caused substantial loss to the public exchequer. The CBI alleged that the policy was structured to benefit liquor traders and that kickbacks were routed to political functionaries. According to the agency, a group described as the “South Group” played a role in alleged payments amounting to around ₹100 crore.
Based on its investigation, the CBI filed a charge sheet before the Rouse Avenue Court. It arrested Manish Sisodia on February 26, 2023. Kavitha was arrested on March 15, 2024, followed by the arrest of Chief Minister Arvind Kejriwal on March 21, 2024. All were subsequently granted bail.
After examining the records and submissions, the court ruled that the evidence placed on record did not justify framing of charges. It therefore discharged all accused, bringing the trial court proceedings to a close.