CBI to Challenge Court Order Acquitting Kejriwal, Sisodia in Delhi Excise Policy Case
The Central Bureau of Investigation has decided to move the High Court against a Rouse Avenue Court order that discharged former Delhi Chief Minister Arvind Kejriwal, former Deputy Chief Minister Manish Sisodia and other accused in the 2022 Delhi excise policy case. The agency said key aspects of its investigation were not adequately examined in the trial court’s judgment and will form the basis of its appeal.
The CBI registered an FIR on August 17, 2022 following a complaint from the Union Ministry of Home Affairs, alleging irregularities in the formulation and implementation of the Delhi government’s 2021-22 excise policy. Investigators claimed provisions were modified to extend undue benefits to liquor licensees, including fee waivers and licence extensions without approval.
Both Kejriwal and Sisodia were arrested during the probe and later granted bail by the Supreme Court in 2024, which emphasised the right to a speedy trial amid a lengthy investigation involving hundreds of witnesses.
On Friday, the Rouse Avenue Court allowed discharge pleas, stating that the material placed on record did not reveal sufficient evidence to proceed with criminal charges, including conspiracy.
Following the verdict, emotional scenes unfolded outside the court premises. Kejriwal addressed the media, appearing visibly moved, while Sisodia was seen consoling him as party workers gathered.
Kejriwal said the dismissal of charges validated his party’s long-standing claim that the case lacked substance and reaffirmed his faith in the judicial process. He also alleged that the investigation was politically motivated, a charge repeatedly denied by central agencies.
The CBI, however, maintained that its findings pointed to irregular implementation of the policy and financial benefits to select businesses, arguing that the matter warrants further judicial scrutiny.
The excise policy, introduced for 2021-22 and later withdrawn, aimed to reform Delhi’s liquor retail system. Central agencies alleged the policy enabled a cartel — often referred to in investigation documents as the “South Group” — to receive favourable treatment in exchange for kickbacks.
Authorities claimed the alleged irregularities resulted in losses to the public exchequer and manipulation of licensing norms. Parallel money-laundering proceedings were also initiated, with the Supreme Court granting interim relief and bail in those cases while directing cooperation with investigators.
The High Court appeal ensures that one of India’s most politically significant corruption cases remains active. The outcome carries implications beyond Delhi politics, influencing debates on federal investigative powers, governance reforms and accountability in policy decisions.
The case has also become a focal point in national political discourse, frequently cited by both the ruling establishment and opposition parties as evidence of either anti-corruption enforcement or alleged political targeting
Legal experts note that the High Court’s review will determine whether the investigation proceeds to trial or the discharge order stands, shaping the future trajectory of similar policy-linked corruption cases.
The CBI is expected to file its appeal shortly, seeking reconsideration of the trial court’s conclusions. The High Court may examine whether investigative material was sufficient to frame charges and whether procedural standards were correctly applied.
Until then, the discharge order remains in effect, though the legal battle appears far from over.