Delhi Liquor Policy Case: CBI approaches High Court after trial court setback

The trial court acquitted 23 accused, including Kejriwal, in the Delhi liquor policy case, making strong comments about the CBI’s investigation. The CBI filed an appeal against the decision in the Delhi High Court, where further hearings will now take place.

Post Published By: Karan Sharma
Updated : 27 February 2026, 6:15 PM IST

New Delhi: A special court in Delhi on Friday granted a major relief to all 23 accused, including former Chief Minister Arvind Kejriwal and former Deputy Chief Minister Manish Sisodia, in the alleged Delhi Liquor Policy Scam case, discharging them. Special Judge (Prevention of Corruption Act) Jitendra Singh delivered the order at Rouse Avenue Court.

The court stated that the prosecution had failed to prove any larger conspiracy or criminal intent. According to the court, the evidence presented on record did not stand the test of judicial scrutiny, and prima facie no case was made out.

Court's Strong Comment on CBI

In the decision, the court also questioned the CBI's investigation process. The court stated that the agency attempted to fabricate a conspiracy but relied more on conjecture and speculation than on concrete evidence.

The court particularly objected to the fact that an accused was pardoned and made an approver, and then an attempt was made to cover up the shortcomings of the investigation based on his testimony. The judge stated that this could violate constitutional principles.

The court also indicated that a departmental inquiry could be recommended against CBI officials for naming public servant Kuldeep Singh as accused number 1 in the charge sheet.

CBI Response: Challenge in High Court

Just hours after the trial court's decision, the CBI moved the Delhi High Court and challenged the order. The central agency believes that sufficient grounds exist in the case and the court's decision merits reconsideration. The High Court will now hear the petition.

What is the whole matter?

This case relates to the Delhi government's 2021-22 excise policy, which was later withdrawn. The CBI had alleged that this policy was formulated to benefit certain private companies. The agency claimed that a select few businesses benefited from reducing license fees and fixing profit margins, which allegedly resulted in financial losses to the government and illegal kickbacks.

The CBI filed an FIR in August 2022 following a complaint from Delhi Lieutenant Governor V.K. Saxena. The agency alleged that loopholes were deliberately left in the policy's formulation.

Case on hold for now

Following the trial court's decision, the process of framing charges in this case has been halted. The court clearly stated that the allegations are not strong enough to prosecute. All eyes are now on the Delhi High Court, where the next phase of this legal battle will begin.

Location : 
  • New Delhi

Published : 
  • 27 February 2026, 6:15 PM IST