AAP Calls Sanjeev Arora’s Arrest ‘Political Vendetta’, BJP Rejects Allegations

May 10, 2026

Chandigarh: The Enforcement Directorate arrested Punjab Industries Minister Sanjeev Arora in a money laundering case. On Saturday morning, the ED raided five locations, including his official residence in Chandigarh and companies linked to him. According to the investigating agency, the minister was uncooperative during questioning, leading to his detention.

Allegations of a ₹157 crore fake export and GST scam

The ED’s investigation is related to an alleged ₹157.12 crore fake mobile phone export and GST scam. The agency alleges that fake mobile phone purchases and sales were shown through shell companies and that illegal funds were brought back to India through Dubai shell companies.

According to the investigating agency, approximately ₹102.50 crore was brought to India through two UAE-based companies, which were shown as legitimate investments. Several properties have also been frozen for 180 days in this case.

AAP calls it political vendetta

Following the arrest, the Aam Aadmi Party targeted the central government and the BJP. Punjab Chief Minister Bhagwant Mann called it “political vendetta.”

Meanwhile, AAP convener Arvind Kejriwal alleged that ED raids were launched continuously in Punjab as soon as the West Bengal elections ended. He said that the central government is trying to break the party by using agencies.

BJP counterattacks

The Bharatiya Janata Party rejected the AAP’s allegations, saying that the party is embroiled in corruption cases. BJP spokesperson RP Singh said that the allegations against AAP leaders are not baseless and that law and order in Punjab is deteriorating.

He alleged that the Punjab Police is targeting political opponents instead of taking action against real crimes.

Company rejects allegations

Hampton Sky Realty Limited, a company linked to Sanjeev Arora, issued a statement saying that it has full faith in the judiciary and the legal process. The company claimed that all mobile phones exported were genuine and their IMEI numbers and customs records were fully verified.

Rejecting allegations of fake exports and round-tripping, the company said that all transactions were made through banking channels and that it itself is a victim of GST fraud.