The AAP Monday denied the allegation levelled by a breakaway group of receiving donations from bogus companies and termed it "malicious and false".
"The BJP (Bharatiya Janata Party) and some mysterious fronts created by it close to the Delhi assembly elections have unleashed a malicious and false propaganda on the funding of the AAP," said a statement from the Aam Aadmi Party.
"Since Monday morning, a defamatory smear campaign is being run against the AAP to confuse the people and divert attention from important issues concerning the people of Delhi," the statement added.
Gopal Goyal, a member of the AAP Volunteer Action Manch (AVAM), Monday said there were four donations each of Rs.50 lakh by four bogus companies to the AAP.
He claimed the funds were received April 5 at midnight and the companies that made the donations were bogus.
The AAP statement said every rupee donated to the party was displayed on its website for public scrutiny.
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The party funding has already been probed twice by successive central governments -- the Congress-led UPA and now the BJP-led NDA government.
"The party also challenges the government to probe its funding from any of the agencies at its command as many times as it wants," the statement said.