TMC account freeze case: Supreme Court asks ED whether limited funds can be released for party's daily operations

The Supreme Court on Monday sought the Enforcement Directorate's (ED) response on whether a limited amount from the All India Trinamool Congress's (TMC) frozen bank accounts could be released to a court-appointed administrator to meet the party's day-to-day expenses..A Bench of Justices MM Sundresh and PB Varale was hearing the Mamata Banerjee-led TMC faction's plea challenging the Calcutta High Court's refusal to grant any interim relief on the party's challenge to the freeze of its accounts by the ED.."Release some amount to the administrator to allow him to do something," suggested the top court today."It’s already available. 164 crore is not attached," replied Additional Solcitor General (ASG) SV Raju, representing the ED..Senior Advocate Kapil Sibal, appearing for TMC, disputed this and urged the Court to grant the party some form of relief. .The Court eventually granted the ED time to give its response on whether it can allow the release of some more money to a retired judge appointed by the High Court earlier to oversee the withdrawal of money to meet the party's routine/ day-to-expenses."We have suggested to both sides as to whether some amount can be released in favour of the Ld. Administrator to conduct the day to day (affairs)… Especially when he has been appointed by the orders of the court and is directed to account for the same. ASG seeks time to take instructions," the Court said. The matter will be heard next on August 11. .TMC had earlier moved the Calcutta High Court against the ED's decision to freeze ₹440 crore in its accounts in a case under the Prevention of Money Laundering Act (PMLA).The ED case relates to the alleged transfer of funds to Carewell Aviation India and its related entity between April 2023 to June 2026 in connection with alleged purchase of an aircraft and a helicopter.The High Court on July 20 declined to grant the party any interim relief. It noted that the ED had not ordered a debit freeze on 36 other accounts of the party, which have an amount of ₹164 crores in them."This Court did not find any prima facie case and balance of convenience and inconvenience in favour of the petitioners. In view of the above, interim order as prayed for by the petitioners, is refused," the High Court said.Therefore, it declined to grant the TMC any interim relief, sought the ED's response to the party's plea and listed the matter for hearing on August 26.Earlier, another Bench of the High Court had granted interim relief to TMC after three TMC bank accounts were frozen on the directions of the West Bengal Police over rebel TMC MLA Biswanath Das's complaint alleging fund misuse. It appointed a special officer to facilitate the operation of the three TMC bank accounts that were frozen at the direction of the police. By a July 9 order, retired High Court Justice Subrata Talukdar was appointed the special officer till September 30.The TMC later claimed that the ED moved to freeze the party's accounts after it apprehended that the party would get interim relief from the High Court in the police case. .ED froze bank accounts when they knew court would de-freeze accounts in WB Police case: TMC to Calcutta HC.The matter has now reached the Supreme Court with TMC challenging the ED's action. The top court today said it was not inclined to lift the account freeze, and that this aspect should be left for the High Court to decide. Senior Advocate Menaka Guruswamy joined Sibal to contending that some form of interim relief should be given to the TMC."We don’t have one rupee to meet our day-to-day account; salary of employees (also have to be paid)," she said. .The Court, in turn, agreed to examine within a limited fund release can be permitted, provided that such withdrawals are overseen by an administrator. The Bench went on to observe, "Mr Sibal, you normally don’t lose your cool.""What do I do when political parties are being stymied in this fashion? After all parties need oxygen to breathe," replied Sibal."We will not go into the merits," the Court maintained. "I understand that," replied Sibal. "We will just make sure that things are moving," added the Court before adjourning the hearing. .[Live Coverage]