The Supreme Court of India has requested a response from the Enforcement Directorate (ED) regarding the possibility of releasing a portion of funds from the frozen bank accounts of the All India Trinamool Congress (TMC) to cover the party’s routine operational costs. This inquiry came as a Bench comprising Justices MM Sundresh and PB Varale heard TMC’s appeal against the Calcutta High Court’s decision, which denied interim relief to the party in its challenge against the ED’s account freeze.
During the proceedings, the Supreme Court suggested allowing a limited fund release to a court-appointed administrator to manage TMC’s daily affairs. Justice Sundresh stated, “Release some amount to the administrator to allow him to do something.” In response, Additional Solicitor General (ASG) SV Raju, representing the ED, mentioned that ₹164 crore not attached by the ED was available. However, this was contested by Senior Advocate Kapil Sibal, who appeared on behalf of TMC, urging the court for relief.
The Supreme Court granted the ED time to respond on the feasibility of fund release to a retired judge, previously appointed by the High Court to supervise the withdrawal for day-to-day expenses. The Court remarked, “We have suggested to both sides as to whether some amount can be released in favor of the Ld. Administrator to conduct the day-to-day affairs… Especially when he has been appointed by the orders of the court and is directed to account for the same.” The matter is scheduled for further hearing on August 11.
The TMC’s initial move to the Calcutta High Court aimed to contest the ED’s freezing of ₹440 crore in its accounts under the Prevention of Money Laundering Act (PMLA). The case involves alleged fund transfers to Carewell Aviation India between April 2023 and June 2026, linked to aircraft and helicopter purchases. On July 20, the High Court declined TMC’s request for interim relief, noting that the ED had not frozen 36 other TMC accounts housing ₹164 crores. The High Court stated, “This Court did not find any prima facie case and balance of convenience and inconvenience in favor of the petitioners. In view of the above, interim order as prayed for by the petitioners is refused.”
Previously, a different High Court Bench granted temporary relief to TMC after three accounts were frozen on the West Bengal Police’s directive following allegations of fund misuse by rebel TMC MLA Biswanath Das. Retired Justice Subrata Talukdar was appointed as a special officer to supervise these accounts until September 30.
More Read
The TMC claims the ED moved to freeze its accounts anticipating the High Court’s interim relief in the police case. The Supreme Court, now examining the matter, indicated that it was not inclined to lift the account freeze entirely, leaving that decision to the High Court. Senior Advocates Menaka Guruswamy and Kapil Sibal argued for interim relief, stressing the party’s financial struggles to meet daily expenses and employee salaries.
The Supreme Court expressed willingness to explore a limited fund release under an administrator’s supervision, maintaining that the merits of the case would not be delved into at this stage. The hearing was adjourned, with further proceedings awaited.
