NEW DELHI: In a significant development, the Supreme Court granted interim bail to Delhi Chief Minister Arvind Kejriwal in the matter related to his arrest by the Enforcement Directorate (ED) in the agency's money laundering probe linked to the larger Delhi liquor policy case last Friday. However, despite the bail, Kejriwal will continue to be incarcerated due to his judicial custody in a separate case being probed by the Central Bureau of Investigation (CBI) in the same matter.

The three-judge bench emphasized that the "reason to believe" for arresting a person under the Prevention of Money Laundering Act (PMLA) must be furnished to the arrestee to enable them to challenge their detention. The bench led by Justice Sanjiv Khanna delivered the judgment, which had been reserved since May 17. 

Kejriwal, who has been in custody since his arrest by the CBI under the Prevention of Corruption Act on June 25, will continue to remain in custody despite the interim bail granted in the ED case. Justice Khanna, reading excerpts from the judgment, emphasized that while the “reasons to believe” for arrest met the parameters of Section 19 of the PMLA, the court raised concerns about whether the necessity of arrest should be a condition under this section, particularly in light of the doctrine of proportionality. This issue has been referred to the larger bench for deliberation.

Acknowledging Kejriwal’s prolonged incarceration of 90 days, the bench decided to grant him interim bail, emphasizing the importance of the right to life and liberty. The terms and conditions of the interim bail remain the same as those imposed on May 10. The court clarified that its observations do not constitute findings on the merits of the allegations against Kejriwal and that applications for regular bail will be decided based on their own merits.

The legal proceedings have been eventful, with Senior Advocate AM Singhvi representing Kejriwal and questioning the timing and necessity of his arrest by the ED. The court had posed several queries to the Additional Solicitor General SV Raju, representing the ED, during the hearings.

Earlier, Kejriwal’s plea challenging his ED arrest was dismissed by the Delhi High Court on April 9, prompting him to approach the Supreme Court. The matter has seen multiple twists, including Kejriwal’s temporary release for campaigning in the Lok Sabha elections, subsequent bail in the ED case on June 20, and the stay on that bail by the Delhi High Court on June 25. Kejriwal has also challenged his arrest by the CBI and filed a bail plea in that case before the Delhi High Court, with hearings scheduled for July 17.