Excise policy case: Chanpreet Rayat freelanced for other political parties as well, notes Delhi High Court

New Delhi: While granting bail to Chanpreet Singh Rayat, who allegedly "managed" cash transactions for AAP's campaign in the 2022 Goa assembly polls, in a money laundering case related to the alleged excise scam, the Delhi High Court has noted the submission that he has worked as a "freelancer" for various other political parties in the past.

The court said the claim that Rayat spent a part of the proceeds of crime has to be proved through cogent evidence during the trial, and mere spending of money, the source of which is not known, does not show a "strong case" against him.

"It has been explained by him (Rayat) that he was a freelancer working for the political parties like BJP, TMC etc., in the past. Looking at his nature of work of a freelancer for various political parties which he has been doing in the past, merely because he spent certain amount the source of which is not certain, for the campaigning events in the election of Goa, it cannot be said that there is a strong case against the petitioner," observed Justice Neena Bansal Krishna.

"The statement of the Angadiyas (hawala operators) and others persons, are required to be proved through cogent evidence during the trial that this Rs 45 Crores, which is being utilized by the petitioner, were in fact the part of the proceeds of crime and this fact was within the knowledge of the petitioner," the judge added.

According to the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED), irregularities were committed while modifying the Delhi excise policy for 2021-22 and undue favours extended to licence holders.

The Delhi government implemented the policy on November 17, 2021 but scrapped it at the end of September 2022 amid allegations of corruption.

According to the ED, Rayat "managed" cash funds for AAP's campaign for the 2022 Goa assembly polls and received Rs 45 crore that was part of the proceeds of crime.

The court granted bail to Rayat, arrested by the agency on April 12, in the case on Monday on a bail bond of Rs 5 lakh with one surety of the like amount.

In the 26-page order on Rayat's bail application, the court noted that he was made an accused in the sixth supplementary chargesheet, and considering the nature of his business, it cannot be said that there is likelihood of his committing the same offence again.

It recorded that at the time of grant of bail in the predicate (the main case of corruption) offence, it has been observed that the case against him is "extremely weak".

The court also noted that as per the petitioner, an amount of Rs 12 lakh recovered from his account were his own earnings.

The court also said even if the twin conditions for bail under the law against money laundering are not met, an accused can't be deprived of his personal liberty when there is a prospect of long incarceration without the conclusion of the trial.

Under section 45 of PMLA, an accused can be granted bail subject to the twin conditions that the court is prima facie satisfied that he is not guilty of such offence and the prosecutor has been given an opportunity to oppose the application for bail.

Justice Krishna noted that the Supreme Court, while granting bail to former deputy chief minister Manish Sisodia in the same matter, has reiterated that "bail is the rule and refusal is an exception", and the fundamental right of liberty provided under Article 21 of the Constitution is superior to statutory restrictions.

"The twin conditions as provided in Section 45 of the PMLA, 2002 are primarily satisfied. Even if it is held that these conditions are not met by the petitioner, the jurisprudence for grant of bail is that the petitioner cannot be deprived of his constitutional right of personal liberty enshrined under Article 21 especially when there is a prospect of long incarceration without the conclusion of the trial," the court said.

"It is admitted that the petitioner has been behind bars since 18.04.2024, there are around 69,000 pages of documents involved in both CBI and ED matters. Moreover, there are 493 witnesses, who have to be examined on behalf of the prosecution," it added.

The court also said the accused has deep roots in the society and there is no possibility of him fleeing away from the country and not being available for trial.