Cash-for-Transfer Scam: Punjab AAP Government Moves Supreme Court Against HC Order on CBI Probe

New Delhi / Chandigarh: The Aam Aadmi Party-led Punjab government has moved the Supreme Court challenging the Punjab and Haryana High Court's directive ordering a Central Bureau of Investigation (CBI) probe into an alleged cash-for-transfer and posting scam involving Chief Minister Bhagwant Mann's office.

Senior Advocate Vikas Singh, appearing on behalf of the Punjab government, mentioned the Special Leave Petition (SLP) before a bench led by Chief Justice of India Surya Kant, seeking an urgent listing.

High-Stakes Exchange in Supreme Court

During the mentioning, Advocate Singh argued that political motivations were driving the issue ahead of elections and claimed the High Court order violated federal structures.

CJI Surya Kant: "Not today."

Advocate Vikas Singh: "Then tomorrow. During election time, such matters are blown out of proportion... The judgment in the Vijay Madanlal Choudhary case clearly states paragraph 151 principles regarding predicate offences."

CJI: "We will see how many matters are listed. Nothing will happen."

Advocate Singh: "This is a clear case of violation of the federal structure."

CJI: "We will try tomorrow. Otherwise the day after tomorrow, definitely."

High Court Order & CM's OSD Named

The legal showdown follows the Punjab and Haryana High Court’s ruling directing the CBI to register a regular First Information Report (FIR) and submit an investigation report within two months. The High Court took action after the Enforcement Directorate (ED) revealed WhatsApp chats, call records, and documents allegedly linking middlemen, real estate developers, and government officials to the Chief Minister’s Officer on Special Duty (OSD), Rajbir Singh Ghumman.

The Enforcement Directorate's Findings

The controversy stems from money-laundering probes into the 348 crore Suntec City project. In May 2026, searches conducted by the ED at premises linked to Nitin Gohl, builder Ajay Sehgal, Suresh Kumar Bajaj, and others reportedly led to the recovery of digital records and nearly 1 crore in cash.

According to the ED, communications recovered during the searches pointed to:

• Manipulation of government postings and police transfers.

• Interference in state tenders, including Markfed contracts.

• Influencing Change of Land Use (CLU) permits and administrative clearances.

The ED had written multiple letters to Punjab Director General of Police Gaurav Yadav urging the registration of a criminal case under the Prevention of Corruption Act and the Indian Penal Code. Instead of registering an immediate FIR, the state police sought opinions from the Bureau of Investigation, prompting the ED to approach the High Court.

Legal Nuance: Consent for CBI in Punjab

While Punjab revoked its general consent for CBI investigations in November 2020 under Section 6 of the Delhi Special Police Establishment (DSPE) Act, consent is not required when an investigation is explicitly ordered by the High Court or the Supreme Court. The High Court directed the state police and administration to fully assist the federal agency.

The Supreme Court is expected to take up the Punjab government's petition later this week.