Chhattisgarh NAN scam: Constitutional functionaries in touch with High Court judge to help few accused

New Delhi: In a startling claim, the Enforcement Directorate on Monday told the Supreme Court that some constitutional functionaries of Chhattisgarh were in touch with a High Court judge to help a few accused in a money laundering case arising out of multi-crore rupees 'Nagrik Apurti Nigam' (NAN) scam in the state.

The submissions were made before a bench headed by Chief Justice Uday Umesh Lalit by Solicitor General Tushar Mehta on behalf of the anti-money laundering probe agency which is seeking transfer of the trial in the case outside Chhattisgarh. The bench, also comprising justices Ajay Rastogi and S Ravindra Bhat, took note of the sealed cover materials provided by the ED and permitted the state government and other parties to file documents that they wish to submit in a sealed cover. While fixing the case for hearing on September 26 for hearing, it also asked the parties to file written submissions on the maintainability of ED's plea.

The law officer alleged that some high constitutional functionaries of the state along with the SIT were "weakening" the case in connivance with the accused which included two senior IAS officers. He said the accused had not only attempted to influence the witnesses to withdraw their statements given before the ED, but even the SIT had made seven attempts to stall the proceedings. "If this comes out in the public domain, it might shake the faith of people in the system. A sitting judge of the high court was in touch with constitutional authorities who were helping the accused," he told the bench. The solicitor general said he did not want to make the names public. He said that a government is in rem (continuity) when senior lawyers including Kapil Sibal, Mukul Rohatgi, and Rakesh Dwivedi said that the scam started during the BJP rule in the state. The law officer said that the ED's plea for transfer of the case out of state was mentioned six times for urgent listing.

However, the bench said "Whatever documents are in a sealed cover, we have not seen them but the SG has requested that we have a look at them so we will see them. In case we find that the material is to be made public, we will allow that." "A submission has been made that the investigation be transferred and this court had issued a notice in November 2021. Almost 10 months have gone by...Before the trial concludes, we must decide whether there is a substance on the other side," it said. Earlier, the ED, on March 4, had sought the urgent hearing of its plea challenging the grant of anticipatory bail to two senior IAS officers by the Chhattisgarh High Court in the money laundering case arising out of multi-crore rupees 'Nagrik Apurti Nigam' (NAN) scam. A bench headed by the then Chief Justice N V Ramana (since retired) had assured early listing of the case to the ED. The ED had said that its plea against the grant of bail needed an urgent hearing in view of the fact that the evidence has been "cooked up" allegedly in favour of the accused senior officers in the case.

"Here is one matter from Chhattisgarh and there is a kind of disturbing situation with a constitutional functionary and the grant of bail and I am seeking transfer (of the case). Every day the evidence is being cooked up," the law officer had said. Prior to this, the Chhattisgarh High Court had granted anticipatory bail to IAS officers, Anil Tuteja and Alok Shukla, in the money laundering case related to the Chhattisgarh Civil Supply Corporation scam. In 2019, the ED lodged an Enforcement Case Information Report (ECIR) under the Prevention of Money Laundering Act, which was based on the FIR and charge sheet filed by the Chhattisgarh police's economic offences wing (EOW) and the anti-corruption bureau (ACB) in the civil supply scam.

The ED then filed an appeal against the bail order in the money laundering case which was registered in the NAN scam in which the Anti-Corruption Bureau, Raipur had registered the FIR. The FIR alleged wide-scale corrupt practices in the procurement and transportation of rice and other food grains which involved officials and others related to the state Civil Supplies Corporation, Raipur. The central probe agency has alleged that the accused officers "time and again" evaded the proceedings established by law and have been successfully able to thwart an impartial investigation and trial due to their political clout. Referring to an income tax raid, it said the mobile phone records of two accused officers revealed that they and others have weakened the offence of corruption by procuring favourable reports from prosecuting agencies and the state SIT. The ED has also filed a separate petition seeking transfer of trial outside Chhattisgarh and transfer of further investigation with an impartial agency like CBI.