Delhi Court Sends I-PAC Director Vinay Chandel to Judicial Custody in Coal Scam Case

Vinay Chandel, the director of I-PAC, has been placed in judicial custody for 14 days as part of an ongoing investigation into a coal scam involving alleged money laundering. The Delhi court's decision follows the conclusion of his previous custody period. Chandel has sought regular bail, with a hearing scheduled for April 29. The court noted that the Enforcement Directorate had adhered to legal protocols during his arrest and highlighted concerns regarding the legitimacy of certain financial transactions linked to Chandel. This case continues to unfold as authorities investigate the allegations.

By Narendra Chaudhary Apr 23, 2026, 15:54 IST

Judicial Custody for Vinay Chandel

On Thursday, a court in Delhi ordered the judicial custody of Vinay Chandel, the director and co-founder of I-PAC, for 14 days until May 7. This decision is part of an investigation into alleged money laundering linked to a coal theft case. In response, Chandel has filed for regular bail at the Patiala House Court. Additional Sessions Judge Dhirendra Rana has issued a notice regarding the bail application and instructed the Enforcement Directorate (ED) to submit its response. The court will hear arguments on this matter on April 29. This development follows the conclusion of Chandel's 10-day custody, which was previously granted by the court and ended on April 23, after which he was presented before the court.

Court's Observations on ED's Actions

In its earlier order granting custody to the ED, the Delhi court noted that the agency had complied with the legal requirements under the Prevention of Money Laundering Act (PMLA) at the time of Chandel's arrest. The court also recorded that copies of the arrest order, reasons for the arrest, and related documents were duly provided to Chandel along with a receipt, and these were sent to the Adjudicating Authority as well.

The court acknowledged adherence to sections 19(1), 19(2), and 19(3) of the PMLA, emphasizing that procedural safeguards were followed. Citing the facts on record, the court took note of the ED's allegations that Chandel was involved in transferring funds through informal channels, including hawala, and that some transactions were conducted outside the formal banking system. The agency also claimed that statements given during the investigation did not align with the gathered facts and that there was no clear and legitimate business purpose for several transactions with various entities.