Big setback for Punjab minister Sanjeev Arora: High Court denies bail in ED money laundering case

PTC Web Desk:  The Punjab and Haryana High Court on Friday refused to grant regular bail to Punjab Cabinet minister Sanjeev Arora in a money laundering case being investigated by the Enforcement Directorate (ED).

Justice Kuldeep Tiwari announced the order in open court. Arora’s petition was against the ED, which is probing him under the Prevention of Money Laundering Act (PMLA).

According to the petition, Sanjeev Arora has been in custody since May 9. The court was also told that his earlier bail application had been turned down on June 15 by the special PMLA judge in Gurugram, which is why he moved the High Court.

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What Sanjeev Arora told the court

Sanjeev Arora described himself as a sitting Cabinet minister in the Punjab Government and a former Rajya Sabha member with deep roots in society and a clean public record.

Arora said he was the promoter and chairman of Hampton Sky Realty Limited (HSRL), a company set up in 1987 that deals in several types of business. His lawyer argued that he stopped taking part in the company’s day-to-day affairs once he became a minister.

The ED’s case

The agency’s case is that HSRL exported mobile phones to firms based in the UAE. It alleges that some companies in the domestic supply chain were shell or fake entities that provided accommodation entries and issued bogus invoices. On this basis, the ED has tried to present HSRL’s export transactions as a source of “proceeds of crime.”

Defence arguments

1. Sanjeev Arora’s side rejected these claims and made the following points:
2. The ED has not established any scheduled offence that produced proceeds of crime linked to Arora.
3. Nothing gathered during the investigation shows that he hid, held, acquired, used or projected any alleged proceeds of crime.
4. The shipments were real business deals backed by purchase invoices, e-way bills, GST records, shipping bills, customs papers, airway bills, bank realisation certificates and foreign customs clearance records.
5. The consignments were inspected and “Let Export Orders” were issued by the competent customs officers.
6. All payments came through regular banking channels and were properly recorded.
7. Despite extensive searches at Arora’s home, his son’s residence and the HSRL office, no incriminating documents, unaccounted assets or digital records turned up.
8. Arora is about 62 years old and suffers from several health problems.
9. The case rests on documents already seized and held by the ED, so there is no chance of him tampering with evidence, influencing witnesses or fleeing.

The court did not accept these arguments and dismissed the plea.

- PTC NEWS

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