‘Don’t create an atmosphere of fear’, SC to ED in Chhattisgarh liquor scam

The Supreme Court on Tuesday asked the Enforcement Directorate not to create an atmosphere of fear as the Chhattisgarh government alleged that the central agency was attempting to implicate Chief Minister Bhupesh Baghel in a money laundering case linked to the alleged Rs 2,000 crore liquor scam in the state.

Appearing for the Chhattisgarh government, senior advocate Kapil Sibal submitted before a bench of Justices Sanjay Kishan Kaul and Ahsanuddin Amanullah that the ED is running amok and they are threatening excise officers.

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He said it is a shocking state of affairs. All this is happening because elections are coming, he claimed.

Additional Solicitor General S V Raju, representing ED, opposed Sibal’s submissions and submitted that the ED is probing a scam in the state.

“Don’t create an atmosphere of fear,” the bench orally told the agency, while adding even a bonafide cause becomes suspect when the agency behaves like this.

The state government has alleged that several state excise department officials have complained the ED is threatening them and their family members with arrest and the agency is trying to implicate CM Baghel.

The court was hearing a plea filed by two Chhattisgarh-based persons challenging the proceedings initiated by the agency.

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The state government has filed an impleadment application in the petition, contending that officers of the excise department have complained of mental and physical torture by ED officers during the probe and there is an administrative standstill due to the ED’s actions. It claimed that there is a law and order situation in the state.

The application also contended that its officers are being threatened by the agency officials with their arrest or arrest of their family members and also being implicated in cases if they do not make and sign the statement as desired by them and to implicate the Chief Minister and other senior officers.

The state government has claimed that ED is acting on behest of political masters and the investigation is completely biased. The apex court has asked ED to file its reply on the state government’s application.

In April, Chhattisgarh government moved the Supreme Court challenging the constitutional validity of Prevention of Money Laundering Act (PMLA), saying that the central investigation agencies are being misused by those in power in order to intimidate, harass and disturb the normal functioning of an opposition government in Chhattisgarh.

According to the ED, bribes were taken from distillers to allow them to form a cartel and have a fixed market share.