A Delhi court on Tuesday remanded Vinesh Chandel, director at political consultancy firm I-PAC, to 10 days in Enforcement Directorate (ED) custody in connection with a money laundering investigation. In a detailed 24-page order, Additional Sessions Judge Shefali Barnala Tandon of Patiala House Courts held that custodial interrogation was necessary to trace the full extent of the alleged proceeds of crime and to uncover the broader network involved.
The court agreed with the ED’s contention that Chandel’s custody was required to identify the complete modus operandi, including other beneficiaries and possible accomplices linked to the case.
Vinesh Chandel was produced before the court late on Monday night, with proceedings stretching from 11 pm to 1 am on Tuesday. Senior advocate Vikas Pahwa appeared for the accused, while special public prosecutor Simon Benjamin represented the ED.
In its observations, the court noted that Chandel had allegedly routed funds through hawala channels and permitted the use of unaccounted cash outside formal banking systems.
He was also accused of making false statements during questioning under Section 50 of the Prevention of Money Laundering Act (PMLA). The court recorded that he denied any cash dealings and claimed that the firm worked exclusively with political parties. “…whereas investigation has revealed transactions with multiple third-party entities without any legitimate business purpose, thereby deliberately misleading the investigation,” the order stated.
The court further observed that Chandel had instructed the deletion of emails and sensitive data belonging to key employees shortly after ED raids conducted in January. “By doing so, the arrestee has deliberately attempted to destroy material evidence and obstruct the course of investigation…the arrestee has knowingly assisted, directly or indirectly, and have been actively involved in the process and activity connected with proceeds of crime, including concealment, possession, acquisition, use and projection as untainted property,” the court said.
It also pointed out that Chandel had been evasive during questioning and could potentially influence evidence, justifying the need for custodial interrogation.
Opposing the ED’s claims, Pahwa argued that the arrest was politically driven, citing the proximity of Assembly elections in Tamil Nadu and West Bengal. He maintained that Chandel had complied with all summons issued by the agency.
The case stems from alleged illegal mining and coal transportation activities in West Bengal. According to the ED, nearly ₹20 crore in proceeds of crime generated from these operations were channelled to I-PAC through hawala routes.
Chandel’s arrest came more than a week after the ED conducted searches at his residence, as well as at premises linked to another I-PAC director, Rishi Raj Singh, and former Aam Aadmi Party communications in-charge Vijay Nair, on April 2.
Earlier this year, the investigation had also drawn political attention. In January, the ED accused West Bengal Chief Minister Mamata Banerjee of obstructing search operations and removing evidence during raids at I-PAC offices and locations linked to its director, Pratik Jain. Mamata Banerjee, however, alleged that the agency was attempting to access election-related material ahead of the Assembly polls. I-PAC is known to work with the Trinamool Congress. The consultancy firm had, at the time, maintained that its work was limited to “transparent, professional political consulting”, and denied any involvement influenced by political ideology.
