Delhi Court Acquits Arvind Kejriwal, Manish Sisodia & 21 Others in Excise Policy Case

In a significant ruling, a Delhi court on Friday discharged Aam Aadmi Party (AAP) leaders Arvind Kejriwal and Manish Sisodia, along with 21 other accused, in the high-profile corruption case linked to the now-scrapped Delhi excise policy, often referred to as the liquor scam.

The Rouse Avenue Court, presided over by Special Judge Jitender Singh, refused to take cognisance of the chargesheet filed by the Central Bureau of Investigation (CBI). The court held that the prosecution failed to present sufficient prima facie evidence to proceed to trial, describing the allegations as lacking substance and unsupported by concrete material.

The case stemmed from the 2021-22 excise policy introduced by the AAP government, which aimed to reform liquor sales in the national capital by involving private players. The CBI alleged irregularities, including favouritism toward certain wholesalers and kickbacks totalling substantial amounts, purportedly funnelled to AAP leaders for election funding. Kejriwal, the former Delhi Chief Minister, and Sisodia, the ex-Deputy Chief Minister who oversaw the excise department, were accused of being part of a criminal conspiracy.

In its order, the court emphasised that there was "no overarching conspiracy or criminal intent" in the formulation or implementation of the policy. It criticised the CBI's investigation for numerous lapses, noting that the voluminous chargesheet contained gaps not backed by witness statements or recoveries. Specifically regarding Kejriwal, the judge observed that he was implicated without any cogent evidence, raising broader concerns about the rule of law when high constitutional functionaries face such charges. For Sisodia, the court found no material demonstrating his direct involvement or any financial gains.

All 23 accused, including other figures like K Kavitha, Vijay Nair, and various businessmen, were discharged on these grounds. The decision provides major relief to the AAP, which has long maintained that the case was politically motivated. Kejriwal, who spent several months in custody related to the matter, reportedly became emotional after the verdict, asserting that it vindicated his and his party's integrity. Sisodia, who endured a longer period of imprisonment before securing bail, also welcomed the outcome.

The CBI has indicated it will challenge the discharge order in the Delhi High Court. This ruling marks a key development in a case that has dominated Delhi politics for years, influencing public perception and electoral outcomes while highlighting debates over investigative agencies' roles in politically sensitive matters.​