The policy was formed on the basis of an expert committee report and was implemented by the Aam Aadmi Party government in Delhi from November 17, 2021. 

Under the new policy, 849 liquor vends were awarded to private companies through open bidding. The city was divided into 32 zones, each with a maximum of 27 vends. Instead of individual licences, bidding was done zone-by-zone.

The new policy marked the exit of the city government from the liquor business and was implemented in a bid to increase government revenues, better customer experience and end the liquor mafia’s influence and black marketing.

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However, the policy was opposed by civil society, religious groups, educational institutions, Parents’ Bodies and the opposition alike. It was brought in the middle of the deadly Delta wave of the Covid pandemic.

But, the Delhi government was forced to roll back the new excise regime and revert to the old liquor policy in July last year.

A controversy soon erupted after it was alleged that the excise policy 2021-22 of the Kejriwal government was used to extend undue financial favours to the liquor licensees, much after the tenders had been awarded, and thus caused huge losses to the ex-chequer.

A report by the Chief Secretary of Delhi, dated July 8, 2022, showed prima facie violations of the GNCTD Act 1991, Transaction of Business Rules (ToBR) 1993, Delhi Excise Act 2009 and Delhi Excise Rules 2010.

On the basis of the Delhi Chief Secretary’s report, Delhi Lieutenant Governor VK Saxena ordered a probe into the controversial Delhi Excise Policy 2021-22 of the Arvind Kejriwal-led government.

The Delhi LG VK recommended the CBI probe on July 22, 2022, into the alleged rule violations and procedural flaws in the implementation of the excise policy.

The Delhi Chief Secretary’s report alleged that “Minister In-charge of the Excise Department, Manish Sisodia, took and got executed, major decisions/actions”, which were “in violation of the statutory provisions and the notified Excise Policy that had huge financial implications.”

Manish Sisodia also allegedly extended undue financial favours to the liquor licensees much after the tenders had been awarded and thus caused huge losses to the ex-chequer, the report claimed.

“It was done so with the sole aim of benefitting private liquor barons in lieu of financial benefits to individuals at the highest echelons of the government leading up to the Minister in-charge of Excise & Finance, Manish Sisodia,” the Delhi Chief Secretary has said in his report.

In August, the CBI registered an FIR in a special court in August against Manish Sisodia and 14 others under various sections of the IPC, including 120B (criminal conspiracy) and 477A (falsification of records), and section 7 of the Prevention of Corruption Act, which deals with taking undue advantage to influence a public servant by corrupt or illegal means, or by the exercise of personal influence.

The FIR flagged payments in crores allegedly made to close associates of Sisodia by Sameer Mahendru — the owner of Indospirits — one of the liquor traders actively involved in irregularities in the framing and implementation of the excise policy.

In October, Manish Sisodia was summoned by the Central Bureau of Investigation and his statement was recorded by the agency.

Sisodia was called for the second round of questioning today, February 26, and he was arrested after being questioned for over eight hours.

However AAP leaders Delhi CM Kejriwal and Punjab CM Mann says BJP which could not win over them politically indulge in dirty politics and they will emerge victorious ..

Before his arrest prior going to investigation in to CBI office in Delhi , To gathered press Sisodia told supporters before leaving for the CBI office

“EVEN IF I AM IN JAIL FOR 7-8 MONTHS, DON’T FEEL SORRY FOR ME, BE PROUD. PM [NARENDRA] MODI IS AFRAID OF ARVIND KEJRIWAL, SO HE WANTS TO FRAME ME IN A FAKE CASE. YOU SHOULD FIGHT ON. MY WIFE, WHO HAS STOOD BY ME FROM DAY 1, IS UNWELL AND ALONE AT HOME. TAKE CARE OF HER. AND I WANT TO TELL CHILDREN OF DELHI, STUDY HARD AND LISTEN TO YOUR PARENTS,”

Legal experts across social media discuss about the policy decision enacted by cabinet that has been now be subjected to trail can it withstand court of law with out concrete evidences .

As AAP decided to take this matter to streets will this arrest of AAP strong leader does it bring the fruits the BJP top leadership expects or backfire in the days it to be seen