Speaking at a press conference on Thursday, Atishi said, "The central government, its agencies and officers are probing into the so-called excise policy scam over the last 15 months. ED and CBI have employed more than 500 officers in this probe.

"Raids were conducted in thousands of places. The agencies, BJP and its central government have failed to prove corruption worth even a rupee neither before the court nor the country."

Sanjay Singh is the third AAP leader to be arrested by a central agency and the second high-profile leader to be arrested in the liquor policy case after Manish Sisodia.

Another AAP leader and a former Delhi minister Satyendar Jain was arrested in May last year in a money laundering case.

The ED officials arrested Singh hours after his residence was raided in connection with the Delhi excise policy case.

The probe agency alleged that Singh, who was arrested under the Prevention of Money Laundering Act, played a key role in the formulation and implementation of the now-scrapped policy which benefited certain liquor manufacturers, wholesalers and retailers, reported Hindustan Times.

The ED and the CBI have alleged the Delhi government's excise policy for 2021-22 allowed cartelisation and favoured certain dealers who paid bribes for licences. The AAP has strongly refuted the charge.

The liquor policy was scrapped Delhi Lieutenant Governor VK Saxena recommended a CBI probe into alleged corruption.