Bansal, who is the son of Kejriwal's deceased brother-in-law, Surendra Kumar Bansal was arrested by Anti-Corruption Bureau (ACB) in connection with alleged irregularities in road and sewer development works by the Public Works Department (PWD).
Bansal was a partner in his father's company Renu Construction, which was involved in the alleged scam.
According to three FIRs registered by the ACB against Kejriwal and others on May 8, 2017, the Delhi Government's PWD committed illegitimate favouritism in awarding a tender to Surendra Kumar Bansal's Renu Construction for road and sewer construction projects.
The complainant, founder of NGO Roads Anti-Corruption Organisation (RACO), Rahul Sharma alleged that the tender was awarded at 46 percent lower than the estimated cost of Rs. 4,90,000.
It was also alleged that the product quality was inferior.
The Delhi Police stated that the arrest was made based upon the unsatisfactory answers of the accused during the questioning, regarding Mahadev Company from whom the company claimed to have bought the raw materials.
In the course of the investigation, Mahadev Company was found to be non-existent.
However, the Delhi Government alleged political vendetta behind the arrest, claiming that the construction work undertaken by Bansal's firm was given a clean chit by Sriram Labs, which was directed by the ACB to do the inspection.
It also claimed that a third party certification of the construction was done by the Indian Institute of Technology (IIT) Roorkee.
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