The Supreme Court on Monday asked the Enforcement Directorate whether a limited amount of funds from the Trinamool Congress’ frozen bank accounts could be released to a court-appointed administrator for the party to meet its daily expenses, Bar and Bench reported.
The bench of Justices MM Sundresh and PB Varale was hearing a plea by the Mamata Banerjee-led faction of the TMC challenging the Calcutta High Court order.
The High Court had on July 20 refused to allow the TMC to operate three bank accounts frozen by the ED. The party had approached the High Court challenging the probe agency’s action under the Prevention of Money Laundering Act.
The case pertains to alleged financial irregularities, unlawful collection of money and routing of suspected funds through certain bank accounts of the TMC.
On June 19, the Kolkata Police froze debit operations on the accounts, a day after rebel TMC MLA Biswanath Das filed a complaint alleging that funds had been misused. The party has been grappling with factionalism after its loss in the West Bengal Assembly elections in May.
On July 8, the ED said that it had frozen three bank accounts of the TMC, holding deposits worth Rs 440 crore.
The agency claimed that around Rs 160 crore was transferred from the party’s bank accounts to Carewell Aviation India Private Limited and a related company between April 2023 and June 2026.
Carewell Aviation then transferred around Rs 83 crore to another related entity, which was used to buy an Embraer Legacy 600 aircraft and an Agusta 109 Grand New helicopter, the ED claimed. It alleged that Rs 112 crore was spent on the purchases.
On July 9, another bench of the High Court had passed a separate order regarding the same bank accounts, permitting the TMC to use the funds for day-to-day operations under the supervision of a special officer till September 30. The order related to the freeze imposed by the West Bengal Police.
On Monday, when the Supreme Court suggested that the ED should “release some amount”, Additional Solicitor General SV Raju responded that it was already available, Bar and Bench reported. “[Rs] 164 crore is not attached,” he said.
Advocates Kapil Sibal and Menaka Guruswamy, representing the TMC, disputed the ED’s claim and said that no amount could be used by the party as the accounts had been frozen, Live Law reported.
The court granted the ED time to submit a response.
The matter will be heard next on August 11.
Edited by *Sara Varghese. *
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