Court Acquits Arvind Kejriwal and Manish Sisodia in Delhi Excise Policy Case

New Delhi, Feb 2026 : In a major legal and political development, a Delhi court on Thursday acquitted former Chief Minister Arvind Kejriwal and former Deputy Chief Minister Manish Sisodia in the high-profile Delhi liquor excise policy case, bringing significant relief to the leadership of the Aam Aadmi Party (AAP).

The Rouse Avenue Court ruled that there was no substantive evidence linking the two senior leaders to the alleged irregularities in the formulation and implementation of the now-scrapped excise policy. Emphasising the foundational principle that a fair investigation is essential for a fair trial, the court observed that the prosecution had failed to establish the charges beyond reasonable doubt.

In its detailed observations, the court noted that the case presented by the Central Bureau of Investigation (CBI) suffered from serious gaps. With regard to Sisodia, the court stated that the allegations did not hold legal merit, no criminal conspiracy could be proved, and the prosecution was unable to substantiate its claims with credible evidence. Similar findings were recorded in relation to Kejriwal, leading to their acquittal.

The verdict was delivered after the court had reserved its judgment on February 12, following extensive arguments by the investigating agency and the defence counsel. In total, 23 people, including Kejriwal and Sisodia, had been named as accused in the case. At the time the controversy erupted, Kejriwal was serving as the Chief Minister of Delhi, while Sisodia held the portfolios of Deputy Chief Minister and Excise Minister.

The CBI had filed its first charge sheet in 2022 and later submitted multiple supplementary charge sheets. The agency alleged that around Rs 100 crore was paid by a so-called “south lobby” to influence the excise policy in its favour. During the hearings, the prosecution argued that the offence of criminal conspiracy should be viewed in its entirety and claimed there was sufficient material to frame charges against all the accused.

However, the court rejected these submissions, holding that suspicion could not replace proof and that the evidence presented was insufficient to sustain the serious allegations made by the investigating agency.

The judgment marks a significant turning point for the AAP leadership, effectively closing a case that had remained under intense judicial and political scrutiny for several years. It also comes in the backdrop of Kejriwal’s arrest by the Enforcement Directorate (ED) and the CBI in March and June 2024 in connection with money laundering and corruption probes linked to the excise policy.

The Delhi excise policy was eventually withdrawn in 2022 after the Lieutenant Governor ordered a CBI inquiry into alleged irregularities in its drafting and execution.