A court in Gurugram on Sunday remanded Punjab Industries Minister Sanjeev Arora to seven days in Enforcement Directorate (ED) custody in connection with a money laundering probe linked to an alleged GST fraud case.
Arora, 62, was arrested by the ED on Saturday evening from his official residence in Chandigarh following raids conducted as part of the investigation.
The probe centres on alleged fake GST transactions involving mobile phone purchases worth over Rs 100 crore. According to the ED, bogus invoices were allegedly generated through non-existent firms in Delhi to fraudulently claim Input Tax Credit (ITC).
The agency further alleged that the funds were later routed through exports to Dubai and brought back to India in a suspected round-tripping operation.
The ED also searched premises linked to Hampton Sky Realty Ltd in Gurugram during the operation. The company said it was cooperating fully with authorities and had faith in the legal process.
After his arrest, Arora was taken from Chandigarh to Gurugram by road and produced before a special Prevention of Money Laundering Act (PMLA) court. While the ED sought 10 days of custody, the court granted seven days.
Arora’s counsel alleged that the case was “politically motivated”, noting that the ED registered the case on May 5 and arrested the minister four days later.
Punjab Chief Minister Bhagwant Mann and AAP national convenor Arvind Kejriwal slammed the ED action, accusing the Centre of using central agencies such as the ED and CBI to target opposition leaders.
The BJP rejected the allegation, claiming the Aam Aadmi Party was “rattled” because it knew “its days are numbered in Punjab.”
(With inputs from PTI)