Punjab minister Sanjeev Arora challenges ED arrest in High Court, no relief yet

PTC Web Desk: Punjab Cabinet minister Sanjeev Arora on Tuesday failed to secure immediate relief from the Punjab and Haryana High Court after challenging his arrest and remand by the Enforcement Directorate (ED) in an alleged fake GST billing and money laundering case worth more than Rs 100 crore. The court has now fixed May 14 for the next hearing in the matter.

Arora was arrested by the ED on Saturday following searches conducted at his official residence in Chandigarh. After his arrest, the AAP leader was produced before a special Prevention of Money Laundering Act (PMLA) court in Gurugram late the same night. The court subsequently sent him to seven-day ED custody till May 16.

According to the ED, the case is linked to large-scale fake GST invoices and fraudulent input tax credit (ITC) claims. Investigators have alleged that Arora’s company, Hampton Sky Realty Limited, showed purchases of mobile phones from several Delhi-based firms that allegedly existed only on paper.

The agency claimed that fake invoices were used to illegally claim GST refunds and ITC benefits amounting to crores of rupees. Officials are also probing suspected “round-tripping” of funds, alleging that bogus export transactions involving mobile phones were used to channel money back into India through countries such as the UAE.

The ED stated that fresh evidence regarding suspicious financial transactions and links with fake suppliers surfaced after an FIR registered on May 5, 2026.

Reacting to the development, the ruling Aam Aadmi Party termed the action a “politically motivated conspiracy” by the Centre. Opposition parties, however, described the case as a serious instance of alleged misuse of public funds and demanded a transparent investigation.

The ED is continuing its interrogation of Arora to identify other alleged beneficiaries and uncover the wider financial network linked to the suspected GST fraud and money laundering operation.