NEW DELHI: Second arrest in the excise policy case was done on Wednesday afternoon by the Enforcement directorate. Punjab-based businessman Gautam Malhotra was arrested in the money laundering investigation linked to alleged irregularities.

Investigations revealed huge amounts of kickback money that originated out of the ‘tweaked’ policy that favoured ‘liquor lobbies’ and was allegedly laundered and distributed amongst middlemen, government and politicians.

According to ED, he had allegedly played a key role in cartelization. Gautam is accused of moving illicit money and proceeds of crime.

Earlier in the day, the CBI arrested Hyderabad-based Chartered Accountant named Butchibabu Gorantla- titled to be the ex-auditor of BRS MLC and CM KCRs daughter Kavita.

CBI informed in a statement on Wednesday (February 8), that the accused CA has been arrested for his alleged role in formulating and implementing the Delhi Excise Policy and causing wrongful gain to Hyderabad-based wholesale and retail licensees and their beneficial owners.