High Court Dismisses Punjab Minister Sanjeev Arora's Bail Plea in ED Caseਹਾਈ ਕੋਰਟ ਨੇ ਮੰਤਰੀ ਸੰਜੀਵ ਅਰੋੜਾ ਦੀ ਜ਼ਮਾਨਤ ਅਰਜ਼ੀ ਖਾਰਜ ਕੀਤੀ

The Punjab and Haryana High Court on Friday dismissed the regular bail plea of Punjab cabinet minister Sanjeev Arora in a money laundering case being investigated by the Enforcement Directorate. Justice Kuldeep Tiwari pronounced the order in open court. Arora, an Aam Aadmi Party leader and a former Rajya Sabha member, has been in custody since the ED arrested him on May 9, 2026.

What did the High Court decide?

The court held that Arora had failed to make out a case for the grant of regular bail. A detailed order is yet to be uploaded. Arora had approached the High Court after a special court under the Prevention of Money Laundering Act in Gurugram rejected his regular bail application on June 15. His plea also challenged his arrest under the PMLA, and sought quashing of the arrest, the grounds of arrest and the remand order, alleging violation of statutory safeguards and fundamental rights. That challenge was also denied.

What is the ED case about?

The case arises out of the mobile phone export business of Hampton Sky Realty Limited, the company Arora previously headed as its chairman and promoter. Between May and October 2023, the company exported Apple and Samsung devices worth about Rs 102.50 crore to buyers in the United Arab Emirates across 43 shipments, and separately sought GST refunds and customs duty drawback. The tax authorities contested those claims, and a GST refund of over Rs 2 crore was rejected in November 2024. The ED's investigation centres on alleged irregularities in the exports and suspected fraudulent claims involving GST refunds.

How did the case reach the ED?

According to the plea, the company itself lodged a complaint in May 2025 against two men and others, alleging fraudulent availment of input tax credit through shell entities. In April 2026, the ED carried out searches at Arora's residence in Ludhiana, his son's residence in Gurugram and the company's office. Relying on an FIR registered in the matter as the predicate offence, the ED registered its own case in May 2026, provisionally attached bank accounts and properties, and arrested Arora on May 9. He is presently in judicial custody at Bhondsi Jail in Gurugram.

What did Arora's defence argue?

Arora said that on becoming a cabinet minister he ceased to participate in the day to day affairs of the company. His counsel argued that the export transactions were genuine commercial dealings supported by invoices, GST records, customs documents and banking records, and that searches at his residence, his son's residence and the company premises yielded no incriminating material. The defence also argued that the case rests on documentary evidence already with the agency, so there was no likelihood of tampering or witness intimidation, and that as a serving minister with deep roots in society he was not a flight risk. Bail was also sought on medical grounds, and the legality of the arrest was challenged.

Where is Sanjeev Arora lodged now?

He remains in judicial custody at Bhondsi Jail in Gurugram, and the ED investigation and the proceedings before the special PMLA court will continue.

What can Arora do next?

With the High Court refusing regular bail, his legal team can approach the Supreme Court for relief. The detailed High Court order, once uploaded, will set out the court's reasoning.