AAP Minister Sanjeev Arora Invokes Parity Before Punjab & Haryana High Court, Challenges ED Arrest as Politically Motivated

(By Syed Ali Taher Abedi)

May 12, 2026-In a significant development before the Punjab and Haryana High Court, Aam Aadmi Party (AAP) minister Sanjeev Arora moved the court on Tuesday seeking relief from Enforcement Directorate (ED) custody, contending that his arrest was an instrument of political persecution rather than a legitimate exercise of investigative authority.

“This is a case of political victimisation. I want to show two orders passed by my lords recently where my lords have safeguarded from political vendetta. I am Seeking parity.”

The petition came up for hearing before a Division Bench comprising Chief Justice Sheel Nagu and Justice Sanjiv Berry. Arora, represented by Senior Advocate Puneet Bali, urged the court to declare his arrest unlawful and grant him parity with protections the same bench had recently extended to two former AAP members of Parliament who had since crossed over to the BJP.

“Two matters have come to you from the other side. This is from one more side, “I he added

The Parity Argument

Placing reliance on recent judicial interventions by the bench, Senior Advocate Bali drew the court’s attention to orders passed in matters concerning former AAP MPs Sandeep Pathak and Rajinder Gupta. In Gupta’s case, the court had directed the Punjab government to ensure his safety following the withdrawal of police protection after he joined the BJP.

In Pathak’s case, the State had furnished an assurance before the bench that no coercive action would be initiated against him without prior judicial sanction.

Invoking this precedent, Bali submitted that his client was equally entitled to judicial protection, arguing that the State’s conduct in Arora’s case stood in stark and unjustifiable contrast.

Allegations of Political Vendetta

Bali contended before the bench that the prosecution of Arora bore the hallmarks of political orchestration. He pointed to the case of MP Ashok Mittal, against whom ED had conducted FEMA raids, but who faced no arrest after joining the ruling party at the Centre a contrast, Bali argued, that laid bare the selective and partisan nature of the enforcement action.

“This is draconian. You register an FIR and don’t give copy? I have a screenshot of the portal of police, it says blocked,” Bali told to the court.

Counsel further submitted that the predicate FIR, registered by Gurugram Police at 1:50 a.m. without any preliminary inquiry, was made on the basis of a complaint filed by the ED itself a procedure he characterised as legally untenable.

He also alleged that, contrary to the Supreme Court’s directions, the FIR was not uploaded on the police portal and remained inaccessible to the accused.

“It is absolutely illegal and it is absolute case of political vendetta,” Bali Argued.

On the question of arrest procedure, Bali submitted that Arora was taken into custody at 7:00 a.m., yet the grounds of arrest were only furnished to him at 4:00 p.m.  a delay he argued rendered the arrest constitutionally infirm.

“An Absolute political Orchestrate! Two FEMA raids are made. One against Shri [Ashok] Mittal; he defects joins the ruling party no arrest is made

He further submitted that the remand order passed by the Special PMLA Court in Gurugram on May 9 was mechanical in nature and did not meaningfully engage with the contentions raised on behalf of the petitioner.

The Underlying Allegations

The ED had arrested Arora on May 9 in connection with an alleged money laundering scheme involving Hampton Sky Realty Limited, of which Arora was the Chairman and Managing Director at the relevant time.

How am I involved? They have not gone to those persons (whose GST numbers are not in operation).”

The agency alleged that the company reported mobile phone sales of approximately ₹157.12 crore during 2023–24, of which exports worth ₹102.50 crore were made to two UAE-based entities purportedly without any actual movement of goods.

The agency further alleged that the transactions served as conduits for remittance of foreign exchange, in violation of FEMA, and that several suppliers of the company were fictitious entities providing mere accommodation entries.

“ED cannot investigate own FIR, Entire Search operation and ECIR of ED is based on that FIR. There is no independent investigation.

Bali contested these allegations, submitting that all transactions were conducted through banking channels and that exports were carried out with proper customs clearance.

“There is a political vendetta battle which is happening in Punjab. Your lordships have protected two people (BJP MPs), I am only on the other side.”

He argued that Arora could not be held vicariously liable for the GST non-compliance of third-party vendors with whom he had no fraudulent nexus.

“I am arrested at 7 AM. grounds of arrest are given at 4PM.I want to show this FIR is an absolute act of malice against me. Remand order has been passed mechanically by noticing the arrangements of the ED and saying that whatever I’ve argued, cannot be considered at this stage. The complainant and prosecutor against me is ED. It is illegal in Law

Court’s Observations and Next Date

The bench, after hearing arguments through the forenoon session, noted that it could not adjudicate upon the veracity of the allegations without a formal challenge to the FIR. The matter has been posted for further hearing on May 14, 2026.