The Enforcement Directorate (ED) arrested Aam Aadmi Party (AAP) Rajya Sabha MP Sanjeev Arora on Wednesday in connection with a money laundering probe, triggering a political storm in Punjab. AAP chief Arvind Kejriwal accused the Bharatiya Janata Party (BJP) of using central agencies for political purposes, alleging that repeated ED action in Punjab was aimed at intimidating the state leadership. Punjab BJP president Sunil Jakhar countered by accusing the Mann government of shielding corruption.
ED's Extensive Operations in Punjab
The ED has been active in Punjab for well over a month, during which seven AAP Rajya Sabha MPs switched to the BJP, including two who had been searched by the agency. Sources said the ED searched other addresses in Delhi, Gurgaon, and Chandigarh, including the premises of Hampton Sky Realty Ltd, promoted by Arora’s family. The company issued a statement expressing full faith in the legal and constitutional framework, claiming that when the supplier-side fraud came to its knowledge, it approached the police as the complainant by lodging an FIR on May 17, 2025, at a Ludhiana police station. The statement added that the company itself was a victim and that there was no current loss to the government exchequer on account of its transactions.
Arora's Arrest and Previous ED Actions
Arora’s arrest followed an ED search of his official residence in Sector 2, Chandigarh. This is the third time this year that Arora has faced ED action. The agency first raided his premises in connection with a money laundering probe involving alleged misuse of industrial land for residential projects in Ludhiana. At the time, he was a Rajya Sabha MP. AAP fielded him in the Ludhiana West bypoll in June 2025 to retain the seat following the death of MLA Gurpreet Bassi Gogi.
Weeks ago, the agency conducted searches under the Foreign Exchange Management Act (FEMA), which led to the provisional attachment of assets worth over Rs 157 crore linked to Arora and Hampton Sky. Sources said the latest probe involves a Rs 100 crore fake GST purchase of mobile phones and exports to round-trip alleged illegitimate funds from Dubai to India.
Political Reactions
Reacting to Arora’s arrest, Punjab Chief Minister Bhagwant Mann said, “BJP has a deep-seated hatred for Punjab... BJP’s polarisation tactics won’t work here. ED and CBI are being used as weapons to intimidate leaders of rival parties to join BJP.” Leader of Opposition in the assembly, Partap Singh Bajwa, said Arora’s arrest exposes serious corruption allegations against the ruling party in Punjab. He also questioned the BJP-led Union government and central agencies regarding the timing of these actions.
