High Court Condemns Selective Arrests in Chhattisgarh Liquor Scam
The Chhattisgarh High Court recently reprimanded the Enforcement Directorate (ED) and the State’s Economic Offences Wing/Anti-Corruption Bureau (EOW-ACB) for their selective approach in arresting individuals in a high-profile liquor scam case. This case involves Chaitanya Baghel, son of former Chief Minister Bhupesh Baghel, as one of the accused.
Justice Arvind Kumar Verma, while granting bail to Chaitanya Baghel, highlighted the apparent inequality in the application of the law, noting that certain key figures in the case, such as Lakshmi Narayan “Pappu” Bansal, remained free despite warrants against them. The court observed that Bansal’s statements were extensively used by the investigating agencies, yet no action was taken to arrest him.
Court’s Observations on Selective Enforcement
In a strongly worded order, the court criticized the use of coercive powers against Baghel while others remained at large. It stated, “The selective invocation of coercive powers against Baghel, while similarly or more seriously placed persons remain at liberty, raises a legitimate concern regarding unequal application of law.” Such selective enforcement, the court noted, undermines the fairness of the investigation.
The court directed the Director General of Police to address these inconsistencies and ensure future investigations adhere to principles of fairness and equality. It emphasized the need for impartiality in legal proceedings, particularly when the accused face serious charges like those under the Prevention of Money Laundering Act (PMLA) and the Prevention of Corruption Act (PC Act).
Concerns Over the Investigation’s Conduct
The court further criticized the ED for not adequately justifying Baghel’s arrest, especially when the case was heavily reliant on documentary evidence. It was noted that Baghel’s arrest was not supported by any urgent need for custodial interrogation given the available evidence.
Moreover, the court was taken aback by the ED’s admission of ignorance regarding the arrest warrant for Bansal, which suggested a lapse in the investigation process. This, according to the court, lent weight to allegations of a biased or selective approach by the investigating agencies.
The court asserted that keeping Baghel in custody would equate to pre-trial punishment, which is contrary to the principles of criminal jurisprudence. Consequently, the court granted Baghel bail in both the ED and EOW cases, citing the lack of substantial evidence against him and the fact that many co-accused were already on bail.
Background of the Case
The liquor scam case revolves around allegations of a widespread conspiracy within Chhattisgarh’s excise administration from 2019 to 2023. The prosecution alleges that a syndicate of bureaucrats, politicians, and private entities manipulated liquor procurement policies, generating illicit proceeds estimated between ₹2,161 crores and ₹2,500 crores.
Chaitanya Baghel was arrested in July 2025, accused of managing approximately ₹1,000 crore in cash commissions. However, the court declined to address these allegations during the bail proceedings, underscoring that these issues are to be resolved during the trial.
Legal Representation and Bail Conditions
Senior advocate N Hariharan, along with a team of lawyers, represented Chaitanya Baghel, while senior advocate Mahesh Jethmalani appeared for the ED and EOW. The court imposed stringent conditions on Baghel’s bail to ensure his presence during the trial and prevent any misuse of his liberty.
The Chhattisgarh High Court’s decision underscores the judiciary’s role in ensuring that legal processes remain fair and just, particularly in complex cases involving significant public interest.
