Delhi excise policy case: ED arrests Delhi businessman Sameer Mahendru

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The Enforcement Directorate (ED) on Wednesday arrested Sameer Mahendru, managing director of Jor Bagh based liquor distributor Indospirit Group in its money laundering probe in the Delhi’s excise policy 2021-22, people familiar with the development said.

Mahendru is named as a key accused in the excise policy scam, in which Delhi’s deputy chief minister Manish Sisodia is named.

The businessman had allegedly made two payments – ₹1crore to Dinesh Arora, a close aide of Sisodia, and a payment of somewhere between ₹2-4crore to Gurugram based alleged conduit Arjun Pandey on behalf of another accused Vijay Nair.

Nair was arrested by the Central Bureau of Investigation (CBI) on Tuesday evening.

Both the ED and the CBI are investigating alleged cartelization in the now-scrapped liquor policy, which allegedly benefitted some major liquor wholesalers/distributors and retailers while knocking out the smaller vendors from the tendering process.

Mahendru’s Indospirit got the L1 wholesale licence in the excise policy and investigations are on that the company also formed association with other companies to get retail licences, which was in violation of the rules of the policy.

His residence was raided by the CBI on August 19 and by the ED in September first week.

In its first information report (FIR) registered on August 17, the CBI has alleged that Mahendru has made two payments – ₹1 crore to the UCO Bank account of Radha Industries, a company managed by Dinesh Arora, a close associate of Sisodia; and another cash payment of ₹2-4 crore to Gurugram based Arjun Pandey.

Interestingly, Mahendru was a key CBI witness in a 2008 corruption case against two officials of DSIIDC (Delhi State Industrial and Infrastructure Development Corporation Ltd) for allegedly indulging in corrupt practices and obtaining illegal gratification in cash and kind from various distributors/ distillers of liquor for placing supply orders as well as for promotion of their liquor brands.

It has been alleged that irregularities were committed including in modifications in excise policy, extending undue favours to the licensees, waiver/reduction in licence fee, extension of L-1 license without approval and that illegal gains on count of these acts were diverted to concerned public servants by private parties and making false entries in their books of accounts.

Sisodia, who is also the excise, education and finance minister in the Delhi government, steered the 2021-22 excise policy introduced in November 2021. The policy overhauled the Capital’s liquor market and fetched the state government ₹8,919.59crore or close to 27% higher than the base price set for licence bids. It was aimed at making the process of purchasing liquor more consumer-friendly.

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