Last Updated:March 09, 2026, 12:09 IST

On 27 February, court had discharged Arvind Kejriwal, Manish Sisodia, and others, noting that there “was no overarching conspiracy or criminal intent in the excise policy.”

The Delhi High Court on Monday said it will stay the trial court’s remarks against CBI officials in the excise policy case. The decision came while hearing a revision plea filed by the Central Bureau of Investigation challenging the discharge of former Delhi Chief Minister Arvind Kejriwal, Deputy Chief Minister Manish Sisodia, and others.

Justice Swarana Kanta Sharma issued notice in the case and directed the trial court to defer proceedings in the Enforcement Directorate’s money laundering case until the high court hears the CBI’s plea. “I will be granting stay of whatever observations were made against the investigating agency," the judge said.

Notices issued to all discharged accused

The Delhi High Court issued notices to all persons discharged in the matter. The trial court had earlier recommended departmental proceedings against the investigating officer, alleging that the inquiry had crossed the line from a flawed investigation to institutional misconduct. Special CBI Judge Jitendra Singh of the Rouse Avenue Court had said accountability needed to be fixed beyond merely discharging the accused.

On 27 February, a Delhi court had discharged AAP leaders Arvind Kejriwal, Manish Sisodia, and others, noting that there “was no overarching conspiracy or criminal intent in the excise policy."

CBI’s challenge

The CBI has argued that the trial court examined separate parts of the alleged conspiracy in isolation, selectively reading the prosecution’s case while disregarding material showing the accused’s alleged culpability. The agency contended that the court gave its own interpretation to statements recorded by the CBI and to documents, while discarding approver statements on “absolutely untenable grounds." The CBI added that the evidentiary value of statements, from witnesses or approvers, is a matter for trial.

How the case began?

The case arose from a report submitted by Delhi Chief Secretary Naresh Kumar to Lieutenant Governor Vinai Kumar Saxena in July 2022. The report pointed to alleged procedural lapses in the Delhi Excise Policy 2021-22, which came into force in November 2021 but was scrapped in July 2022. It claimed that “arbitrary and unilateral decisions" taken by Manish Sisodia as Excise Minister had caused “financial losses to the exchequer."

News india Liquor Policy Case: Delhi HC Issues Notice On CBI Petition Challenging Kejriwal-Sisodia Discharge

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