HYDERABAD: A court on Monday granted the Enforcement Directorate a three-day custodial extension of Hyderabad businessman Arun Ramachandran Pillai, after the ED contended that the accused was involved in the acquisition, possession and use of proceeds of crime in the Delhi liquor scam.
The ED also sought custody of auditor Gorantla Butchi Babu, with whom Pillai was staying at the time of his arrest in March 2021. However, he is yet to appear for questioning after seeking an extension over health issues, with his questioning set for March 15.
In an affidavit, the ED said: “It has been revealed that the hotel business Center has been sought from the concerned hotel vide email dated March 11, 2023, which is awaited. It is crucial to interrogate Arun Pillai in ED custody while confronting him with the hotel records so as to investigate the link between South Group represented by Arun Pillai, Butchi Babu, and Abhishek Boinapalli at the time of policy formulation.”
ED officials also said that Arun Pillai is guilty of the offence of money laundering. He has withheld information that is in his exclusive knowledge and extremely relevant to the investigation, they said.
Further, ED contended that Arun Pillai conspired with other persons and actively connived in cartel formation and was an accomplice in the kickbacks from the South Group to the tune of ₹ 100 crore to the Aam Aadmi Party and by such acts, proceeds of crime (POC) of at least ₹ 296.2 crores was generated. Arun Pillai has used this POC to create movable and immovable assets
