ED

In recent times, the Enforcement Directorate (ED) has been in the news quite often. A few days back, the leaders of 16 opposition parties met and decided that the Adani matter should be investigated by the ED, and for this, they will make representation to the ED, with signatures from the MPs from the opposition parties. When they were going to the ED’s office, they were stopped by the police and asked to return. Now, why do opposition parties want the Adani matter to be investigated by the ED? For that, you must know what are the powers of the ED, and why the opposition leaders are worried when the matter goes to ED.

There are three premier investigation agencies in the country, and they are the Central Bureau of Investigation (CBI), the National Investigation Agency (NIA), and the Enforcement Directorate (ED). Now as per the procedures laid down by Delhi Police Special Establishment Act 1946 under which CBI was constituted, for CBI to take an investigation in some state, then the CBI has to take permission from the concerned state. In corruption cases against government officers, the CBI has to take permission from the concerned department. Whereas NIA can work in all the states and union territories, their power is limited to cases concerning terrorism.

The ED is the only central agency, that does not need permission from any ministry or department to make any inquiry against political leaders or government officers in money laundering cases. The ED can raid the premises, and seize the property. In case the property is occupied, ED can not ask the occupant to vacate the property. Now if the ED arrest someone under the Prevention of Money-laundering Act (PMLA), the person finds it very difficult to get bail from the court.

In the last 18 years, 147 political leaders are under the clutches of the ED. Most of the time there are more leaders from the opposition parties than the ruling party who are under the scanner/clutches of the ED.

Here are some important opposition leaders, who are under investigation by the ED

1 National Herald Case: Sonia and Rahul Gandhi

In 2012 Subramaniam Swamy filed a petition in Delhi’s Patiala House Court against Sonia Gandhi, Rahul Gandhi, Motilal Vora, Oscar Fernandes, Sam Pitroda, and Suman Dubey, claiming that these people have taken over the loss-making National Herald at a very low value, for taking control of properties held by the National Herald, with the value of more than 2000 Cr. In August 2014, the matter was taken over by the ED, and a money laundering case was registered. In December 2015 Sonia, Rahul, and others were granted bail to all the accused. Ed has questioned Sonia and Rahul many times in this case, and the case is still going on.

2 Delhi Liquor Scam- Manish Sisodia

This case is concerning, the new excise policy framed by the Delhi government regarding excise payable for liquor in the state of Delhi. Including Sisodia, there are 15 accused in this case. The charges against Sisodia are of money laundering, after getting kickbacks from wholesale dealers, and liquor manufacturers.

3 Land scam- Sanjay Raut

He was arrested by the ED on 1^st august 2022. Raut was charged in the scam of the redevelopment of 672 flats in Mumbai’s Goregaon locality. He got bail after 3 months on 10^th November 2022.

4 INX Media- P Chibambaram and Karthi Chidambaram

In this case, not only P Chidambaram was charged with taking bribes in getting the permission of Foreign Investment Promotion for INX, but he was also arrested by the CBI. Ed has questioned P Chidambaram many times in this case. In this case, Karthi was arrested also.

4 Assets more than the known source of income- DK Shivkumar

On 3^rd September 2019, Congress leader and Ex Karnataka minister DK Shivkumar was arrested by the ED, on the charges of tax evasion and having assets more than income.

5 MSC Bank – Sharad Pawar

The ED had summoned Sharad Pawar in the case of Maharashtra State Co Op Bank case, on the charges of loan fraud of Rs 2500 Cr and proclaimed him as the leader of this scam.

There are other leaders like Akhilesh Yadav-illegal mining case, Prafful Patel- in the money laundering case, Mayawati- The Dalit memorial case.

The ED became famous after the PMLA. In plain terms, PMLA is used against people who are making no. 2 money as legal through different sources. Interestingly this law was made by the Vajpayee government in 2002 and was enacted by UPA 1 in 2005 when surprisingly P Chidambaram was the Finance minister.

In information released on 31^st January 2023, as per the ED after the PMLA came into existence  5906 cases were registered. Only 2.98% are against MLAs, Ex MLAs, MLC, MPs, and Ex MPs, which amounts to 176 cases. So the claim of opposition that only leaders of opposition parties are being targeted does not hold well.

In my opinion, the political leaders are only making senseless noise regarding the working of the ED. Yes, it is true that the ruling government at the Centre sometime uses the ED to harass the opposition leaders, but even when the case is genuine,  that time also the opposition leaders protest and make noise which is uncalled for. Take the recent case of Manish Sisodia, even laymen can understand that the excise law was changed so that illegal money can be made. But every time any opposition leader is arrested by the ED under PMLA, then there is a cry of political vendetta.

Waiting for your views on this blog.

Anil Malik

Mumbai, India

21^st March, 2023