No relief for Arvind Kejriwal yet: Why the bail matters for Delhi CM and his AAP

A day after Delhi chief minister Arvind Kejriwal secured bail from a trial court in a money laundering probe related to the Delhi excise policy case, the Delhi High Court has halted the order until it hears the case. The Enforcement Directorate (ED) moved the High Court today (21 June), challenging the bail order granted by a lower court on Thursday.

The Aam Aadmi Party (AAP) leader was arrested by the Enforcement Directorate (ED) on 21 March and has been in judicial custody in Tihar jail since 1 April. Kejriwal had walked out of jail last month on interim bail to campaign for the recently concluded Lok Sabha elections.

As Kejriwal’s bail has been paused, why does the leader need it now more than ever? Let’s take a closer look.

Arvind Kejriwal’s bail order paused 

It is uncertain when Kejriwal will walk out of jail after the Delhi High Court said the trial court’s bail order will “not be acted upon” till the HC hears the case.

Kejriwal was granted regular bail days after the same Delhi court, but a different judge rejected his interim bail plea on 5 June.

Special Judge Niyay Bindu, who granted the bail on Thursday, also declined the ED’s request that the order be kept in abeyance for 48 hours.

Additional Solicitor General SV Raju, appearing for the ED, claimed the agency had direct evidence to prove that funds used for AAP’s Goa Assembly election campaign were moved via hawala channels, reported Indian Express.

Opposing the Delhi CM’s bail plea, he argued that Kejriwal was not cooperating with the central probe agency by sharing his phone passwords.

“You (Kejriwal) may not have committed the offence but you are responsible for the affairs of the AAP and if AAP is guilty of an offence, then you are guilty of the offence as well. This is as per Section 70 PMLA (Prevention of Money Laundering Act),” Raju reportedly said.

Countering these allegations, Kejriwal’s lawyer questioned the timing of the Delhi CM’s arrest just before the Lok Sabha polls and the ED’s quality of evidence.

“The entire case against Kejriwal is based on statements of those people who were arrested. These persons were promised bail and became approvers. Allurements of non-arrest and non-prosecution were given to them,” Senior Advocate Vikram Chaudhri, appearing for the Delhi CM, was quoted as saying by Indian Express.

The court dismissed the central probe agency’s plea and granted bail to Kejriwal. The reasons behind the vacation judge’s decision for the bail were to be known on Friday.

AAP and BJP reaction 

The AAP welcomed the Delhi lower court’s order on Thursday as the “victory of truth”.

“This is a huge victory of justice and truth. The people of the country are very happy. Party workers are also very happy. It has been proven that this was all a conspiracy of the BJP,” senior AAP leader Sanjay Singh told PTI.

Speaking to reporters after visiting Kejriwal’s home on Thursday, Singh said the AAP has repeatedly said the “entire case is false, a part of the BJP’s conspiracy.”

“After this, people’s faith in the justice system will increase further. I just met the CM’s family. Everyone, his parents, wife and children are very happy with the court’s decision,” the AAP Rajya Sabha MP added.

The bail order has come as a surprise for the BJP, whose leaders went into a huddle on Thursday evening and were “eagerly” waiting for the ED’s next move in the now-scrapped Delhi excise policy case, according to Indian Express.

“No one had expected this, including the senior leadership. Everyone is waiting to see what the ED does next; if it will be able to get a stay on Kejriwal’s release from a higher court and if the agency will be able to secure his conviction,” a BJP source told the newspaper.

Taking a dig at the AAP, BJP leader Manjinder Sirsa said that getting bail does not mean there is “no evidence” against Kejriwal. “Evidence was there, and this is why the same court sent you to jail and then gave you bail, so you can’t even say the court is biased," he said to PTI.

Why Kejriwal’s bail matters

If and when Kejriwal walks out of jail, it will be a big boost for the AAP. Delhi is slated for Assembly elections early next year.

The AAP’s dismal performance in the Lok Sabha elections needs an introspection. The party, which contested in alliance with the Congress in Delhi, failed to win a single Lok Sabha seat, with the BJP sweeping all seven constituencies in the National Capital.

There was no tie-up with the Congress in Punjab where the AAP could manage to win only three Lok Sabha seats.

Delhi CM Arvind Kejriwal got interim bail last month to campaign for the Lok Sabha elections. PTI File Photo

Speaking to Indian Express, an AAP insider said, “While discussions have taken place on the Lok Sabha loss, it is now important to focus on the next challenge, which is the Assembly elections, expected in the first half of February. This is not the first time that the AAP lost the Lok Sabha elections and won the Assembly polls by a landslide. It happened in 2014 and 2019. But ensuring a strong third term is the top priority for the party right now.”

While Kejriwal’s release will bolster the party’s rank and file ahead of the crucial 2025 Delhi Assembly elections, the chief minister has his task cut out. Delhi is battling a severe water crisis and the Opposition BJP has increased pressure on the AAP government over the recurring issue.

The saffron party is expected to target the Delhi CM over corruption allegations.

There are several pending matters as well that need Kejriwal’s attention.

With Assembly elections in mind, a senior AAP leader told Indian Express that the Delhi CM is likely to first focus on the implementation of the Mukhyamantri Mahila Samman Rashi scheme under which eligible women in the city will get an aid of Rs 1,000 per month.

After Kejriwal is out on bail, the Mayoral elections, which have been in limbo since April, are expected to finally take place.

As per the Indian Express report, a meeting of the National Capital Civil Services Authority (NCCSA), the body that oversees the transfer, posting, and vigilance-related issues of bureaucrats working with the Delhi government, could also be in the cards once Kejriwal is released from jail.

An AAP insider told the newspaper that the Delhi CM’s release could “give impetus to a significant bureaucratic reshuffle” in the National Capital.

While the BJP is likely to corner Kejriwal over his ‘out on bail’ status, the AAP may use the bail order to stress the Delhi CM’s innocence.

It is quite tough to secure bail under the Prevention of Money Laundering Act (PMLA). Section 45 (1) of this law states that no accused should be granted bail unless “the Court is satisfied that there are reasonable grounds for believing that he is not guilty of such offence and that he is not likely to commit any offence while on bail”.

Kejriwal’s bail has strengthened the AAP’s claim that the money laundering case is “fake”.

If the High Court cancels the bail order, it would be a big setback for the Delhi CM and his party.

With inputs from agencies