AAP nominees have been replaced by senior government officers.
In a major setback for the Aam Aadmi Party, Delhi's Lieutenant Governor VK Saxena today removed two nominees backed by it from the boards of private power distribution companies. Mr Saxena removed AAP spokesperson Jasmine Shah, and Naveen ND Gupta, son of AAP MP ND Gupta, saying they had been illegally appointed as 'government nominees' on the boards of privately owner discoms BYPL, BRPL (Anil Ambani), and TPDDL (Tata). AAP nominees have been replaced by senior government officers.
AAP has called the order "unconstitutional and illegal", adding that only the elected government has the power to issue orders on electricity. "The LG has made a complete mockery of all Supreme Court orders and the Constitution. He is openly going around saying that SC orders are not binding on him," the party said.
VK Saxena has sought their removal based on a report by the Chief Secretary that alleged the AAP nominees provided financial benefits to private discoms at the cost of the state exchequer.
AAP had earlier rubbished the allegations, saying regular audits of discoms were done as per cabinet decisions.
"They had collaborated with private representatives on boards of Anil Ambani owned discoms and benefitted them to the tune of Rs 8,000 crore at the cost of public exchequer," the LG's order said.
"Finance Secretary, Power Secretary and MD, Delhi Transco will now represent the government on these Ambani and Tata owned discoms, as per regular practice, followed since Sheila Dikshit's time as Chief Minister, when these discoms came into existence," it added.
The Lieutenant Governor said appointing senior government officials on these boards was the norm till Chief Minister Arvind Kejriwal-led AAP government nominated party functionaries.
VK Saxena invoked "difference of opinion" under Article 239AA of the Constitution, after the Arvind Kejriwal government persisted on their continuance on these boards, "despite proven misconduct and maleficence on their part".
Mr Saxena had earlier referred the matter to the President for a decision.
"Delhi government which owns 49% of stake in the private discoms used to nominate senior government officials so that the interests of the government and people of Delhi could be taken care of, in decisions taken by the discom boards," the order said.
"However, these AAP nominees on the discoms, in a quid pro quo arrangement involving commissions and kickbacks, instead of acting vigilant in interest of the people and government of Delhi, acted in cahoots with the BRPL and BYPL boards, facilitated a decision by their boards to decrease the LPSC rates from 18% to 12%, and in the process unduly benefitted them to the tune of Rs 8468 crore - an amount that would have gone to the Delhi government exchequer," it added.
Jasmine Shah was in November last year removed as vice chairperson of Delhi government's think tank Dialogue and Development Commission of Delhi (DDCD) for allegedly using the public office for personal political purposes. His office premises were sealed by the state planning department following an order passed by the Lieutenant Governor on November 17.
The DDCD vice chairperson enjoys the rank of a Cabinet minister and is entitled to the perks and privileges of a Delhi government minister like official accommodation, office, vehicle, and personal staff.
Arvind Kejriwal and his party have been in a prolonged tussle with the Center-appointed Lieutenant Governor.
Mr Kejriwal has said that according to a 2018 Supreme Court judgement, the LG has no independent decision-making power. He said there is a clear division of power with police, land, and public order falling under the LG and every other subject being under the elected government of Delhi.
On July 4, 2018, the Constitution Bench of the Supreme Court had passed an order saying that "the Lieutenant Governor has not been entrusted with any independent decision-making power (in context of the transferred subjects)".
"Further the order states once again that 'there is no independent authority vested in Lieutenant Governor to take decisions, except on matters where he exercises his discretion as a judicial or quasi-judicial authority under any law,' implying that the LG only has an independent authority in cases where the LG may be required to act like a judge who resolves conflicts between people," Mr Kejriwal said.
The two met for over an hour last month, immediately after which the Delhi Chief Minister alleged that for the last few months, the interference of the Lieutenant Governor in the elected government's working has increased day by day.
Rebutting Kejriwal's statements, a Raj Niwas official said all the statements made by him attributing to the LG were "misleading, patently false and fabricated and twisted to suit a particular agenda".
Arvind Kejriwal had requested the LG not to "politicise the life and survival of Delhiites", saying it is not a good precedent for the future.