Kavitha, the daughter of BRS chief K Chandrasekhar Rao, was already under ED custody in Delhi's Tihar jail.

After receiving permission from a special court, the CBI officials had reportedly questioned Kavitha inside the jail.

Her judicial custody was extended for 14 days on Tuesday.

Kavitha’s involvement in the case came to light after the ED arrested Hyderabad-based businessman Arun Ramchandran Pillai on March 9 last year.

The ED said Pillai had confessed to representing Kavitha’s interests in the excise policy case.

The ED, which is probing the alleged liquor scam committed by the Aam Aadmi Party (AAP), arrested Delhi Chief Minister Arvind Kejriwal triggering the Opposition to accuse the country's ruling Bharatiya Janata Party (BJP) of using central probe agencies to cripple the Opposition ahead of the Lok Sabha elections.