The Enforcement Directorate, in its custody petition filed in a Delhi court, has levelled accusations against BRS MLC K Kavitha of complicity in facilitating alleged kickbacks to Delhi government functionaries to gain illicit advantages in the excise policy.
According to the agency, Kavitha purportedly conspired with others and actively participated in facilitating kickbacks amounting to ₹100 crore and establishing a money laundering network. Indo Spirits, the firm allegedly involved, generated proceeds of crime (PoC) through her proxy, totaling at least ₹292.8 crores. Kavitha, via her proxy Arun Pillai, was identified as a partner in Indo Spirits, serving as a vehicle for recouping advance kickbacks and further generating proceeds of crime.
Further allegations suggest Kavitha’s involvement in transferring the proceeds of crime amounting to ₹100 crore through her staff/associates to AAP leaders. The agency maintains that Kavitha, as the ultimate authority over Arun Pillai’s share in Indo Spirits, played a pivotal role in policy formulation, kickback schemes, and the subsequent laundering of profits through the company.
An employee of Kavitha, in a statement to the Enforcement Directorate, purportedly confessed to collecting cash from various locations on instructions from Abhishek Boinpally and delivering it to Vinod Chauhan. The funds were allegedly later transferred through the hawala route for AAP’s election campaign in Goa.
ED alleges that Kavitha, along with members of the South Group, orchestrated a deal with AAP leaders, offering kickbacks to the tune of ₹100 crore in exchange for favorable treatment in the formulation and implementation of Delhi’s excise policy. This purported deal involved payments to top AAP leaders through intermediaries and middlemen, facilitating access to policy formulation and favorable provisions.
According to the agency, YSRC former MP Magunta Srinivasula Reddy claimed in his statement to the ED that Kavitha approached him regarding liquor business in Delhi and offered to pay ₹100 crore to AAP. He allegedly quoted Delhi Chief Minister Arvind Kejriwal as welcoming business opportunities, including in the liquor sector.
These allegations paint a picture of systematic corruption and collusion between Kavitha, AAP leaders, and intermediaries, leading to illicit financial gains and undue advantages in policy matters.
