Kavitha threatened excise policy co-accused's business: CBI tells court
What's the story
The Central Bureau of Investigation (CBI) told a Delhi court on Friday that Bharat Rashtra Samithi (BRS) leader K Kavitha threatened businessman Sarath Reddy, another accused in the Delhi liquor policy case.
The agency said that the politician threatened to harm his business if he did not pay money for the Aam Aadmi Party (AAP)'s alleged kickbacks.
The agency made the allegation while seeking five-day custody of the politician.
Context
Why does this story matter?
Both Reddy and Kavitha are members of the so-called 'South Group,' which allegedly paid ₹100 crore to the AAP in return for a big share of liquor licenses under the now-scrapped excise policy.
These funds were used by the AAP for the assembly elections in Goa, and significant amounts of money were given to AAP candidates in cash.
The Enforcement Directorate (ED) has accused Delhi Chief Minister Arvind Kejriwal of being a "key conspirator" in the case.
Political ties
Kavitha's alleged connections with Delhi CM
The CBI alleged that Kavitha transferred the money to Vijay Nair, a close associate of the currently incarcerated Delhi CM, Kejriwal.
The agency claims that a meeting took place between a businessman from the "South Group," Kejriwal, and later with Kavitha.
The CBI also asserts that Reddy became involved in the Delhi liquor business after receiving assurances from Kavitha about her connections in the capital.
Extortion claims
Kavitha's alleged threats and demands from Reddy
Further, the CBI maintained that Kavitha told Reddy he needed to pay ₹25 crore for wholesale and an additional ₹5 crore for each zone to AAP.
When Reddy hesitated, it's alleged that Kavitha threatened his business.
The agency believes she needs to be questioned further about details uncovered during their investigation into the liquor policy.
Detention details
Kavitha's arrest and questioning by CBI
Kavitha has been under the ED's custody since her arrest in mid-March.
On Thursday, the CBI arrested her in Tihar jail.
The agency alleged that during her interrogation in Tihar Jail on Saturday, she didn't provide satisfactory replies.
"She is not disclosing the facts which are exclusively to her knowledge even after being confronted with evidence," it said.