It is only recently in February, Bhupesh Baghel was appointed AICC general secretary in charge of Punjab, to launch strong political campaign to wrest power in Punjab from the ruling AAP, whose leaders in Delhi are also accused in Delhi liquor scam. One of the accused in Chhattisgarh Liquor Scam is also linked to Jharkhand Liquor Scam. ED has come out with money laundering cases against several officials and political entities from opposition. One of the ED cases of money laundering linked to Chhattisgarh Liquor Scam was quashed by the Supreme Court of India on April 8, 2024, observing that there were no proceeds of crime.

The quashed ED case was against a former IAS officer Anil Tuteja and his son Yash. The Supreme Court Justices Abhay S Oka and Ujjal Bhuyan observed that they complained against the two accused was based on an offence under Income Tax Act, which is not classified as a scheduled offence under the Prevention of Money Laundering Act (PMLA).

At that time Additional Solicitor General SV Raju, appearing for the ED, had told the bench that the probe agency may lodge a fresh complained against the accused in view of additional material the agency has recovered during investigation. The court had instructed the ED not to take coercive measures against the father-son duo in connection with the money laundering probe related to the Chhattisgarh liquor irregularities case. The ED case stemmed from a 2022 income tax department chargesheet filed in a Delhi court in which ED had alleged that distillers in Chhattisgarh were collecting bribes on liquor sourced from CSMCL, the state entity overseeing the liquor trade. ED also alleged that country liquor transactions were conducted off-the-books.

While the EC case was quashed, the original FIR registered by ACB/EOW of Chhattisgarh in January 2024, remained under investigation. Chhattisgarh elections were held in November 2023, in which BJP had wrested power from CM Bhupesh Baghel led Congress government. Congress had put an end to BJP’s 15 years rule in 2018.

BJP led Chhattisgarh government led by Raman Singh had implemented the new excise policy in 2017, and set up the CSMCL to retail liquor through its stores. ED says that the objective of the BJP led government was “noble” but the policy was misused after Baghel took over power in the state.

ED has told the court that “…A change in the state government in 2018 led to change of management of CSMCL and it became the tool in the hands of the syndicate which used it to enforce a parallel excise department. The syndicate comprises of senior bureaucrats of state, politicians and officials of excise department.”

In February 2019, Arun Pati Tripathi, an Indian Telecommunication Service officer, was chosen to lead CSMCL. In May, he was made Managing Director of CSMCL. According to the ED, the illegal sale of liquor through government vends started that year.

It is only on March 8, 2025, the Supreme Court of India has granted bail to Arun Pati Tripathi, however, directed that he shall be released on bail on April 10, 2025, to ensure that the ongoing investigation is not affected. And it in on April 10, ED has conducted fresh raids on Bhupesh Baghel’s several premises.

The bench of Justice Abhay Oka and Justice Ujjal Bhuyan noted while granting bail that Tripathi had been in custody for approximately 11 months and observed that there is no possibility of the trial commencing in the near future.

Tripathi was arrested on April 12 by ACB Chhattisgarh. While granting bail Supreme Court has referred to its earlier order of December 12, 2024, which had noted that Tripathi had been in custody for eight months and that the charge sheets had already been filed in the case in which more than 300 witnesses were cited, and the trial could only commence once the final charge sheet is filed. Supreme Court has also granted bail to three others – Anurag Dwivedi, Dilip Pandey, and Deepak Duary - accused in related cases.

On December 7, 2024, the Supreme Court bench had flagged “disturbing features” in the arrest of former IAS officer Anil Tuteja by the ED. The bench of Justices Abhay S Oka and Augustine George Masih termed the fact of the case as “glaring” in the arrest of the former bureaucrat on April 20, 2024.

Senior advocated Abhishek Manu Singhvi appearing on behalf of Tuteja had submitted that the Supreme Court that had already quashed a case on April 8, 2024, but three days later ED registered a new ECIR complaint based on the same set of facts and material saying the agency couldn’t have new information in such a short time.

Justice Oka asked if the ED could rely on the same material from the first ECIR, which had been quashed, to justify the registration of a second case. Additional Solicitor General S V Raju, representing the ED, had argued that the material collected remained on record and could form the basis of further proceedings.

The bench then told the ED to be prepared for answering the question on the maintainability of the fresh case filed by the agency on April 11 after the court set aside the entire ED proceedings against Tuteja and other accused on April 8, as the predicate offence was based on income tax proceedings, which was not a scheduled offence under the Prevention of Money Laundering Act (PMLA).The ED had then claimed the fresh case was based on the FIR registered by the Chhattisgarh police and on different charges and evidence.

It should also be noted that during Jharkhand elections, ED had conducted raids in Jharkhand on October 29, 2024 linked to IAS officer Vinay Kumar Choubey and others in connection with Jharkhand Liquor Scam. Raids were conducted in connection with an FIR registered against Choubey in Chhattisgarh in connection with Chhattisgarh Liquor Scam. Choubey was formerly Principal Secretary to Jharkhand Chief Minister Hemant Soren and Secretary to Excise Department during implementation of the 2022 Jharkhand Excise Policy.

ACB Chhattisgarh had registered the FIR in January 2022, against an illegal liquor “syndicate” in Chhattisgarh that was controlling liquor business in both the states. ED named many officials and others in the case.

In January 2025, ED had arrested Chhattisgarh Congress leader Kawasi Lakhma in connection with the alleged Rs2161 crore Chhattisgarh Liqour Scam during 2019-23, when Bhupesh Baghel government was in power. Lakhma was the Excise and Commerce & Industry Minister in Baghel’s Congress government.

Shortly after ED raids began on March 10 in the Baghel’s several premises, Baghel’s office said, “While the false case going on for seven years was dismissed in court, today ED guests have entered the Bhilai residence of former Chief Minister, Congress General Secretary Bhupesh Baghel.” It is only on March 5, a special CBI court has discharged Congress leader and former CM Bhupesh Baghel in a 2017 alleged sex CD case, in which the arrested accused has said that he had a sex tape involving a BJP leader and minister of Chhattisgarh. Baghel was made an accused in that case.

Chhattisgarh government has said on March 10, that the extent of the loss put by investigators of the case is about Rs5000 crore, which is more than double the Rs2161 crore earlier estimated by probe agencies. (IPA Service)