49-year-old Tomar, MLA from Trinagar and a first-time minister, was remanded to four-day police custody by a city court hours after he was arrested for allegedly forging his science graduation, law mark sheets and a migration certificate.
Investigators said that an FIR was registered and the Law Minister was arrested after nearly a month-long investigation established that the documents he submitted in 2011 to register with the Bar Council of Delhi were fake.
"Jitendra Tomar has sent his resignation to the Chief Minister a while back. And the Chief Minister has accepted the resignation. It will be sent to the Lt Governor tomorrow morning," said Sisodia.
He said that "after today's events, Tomar has sent the resignation on his own."
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Tomar said he quit "on grounds of morality. But I will fight this case through and win. After this, I will work for the party."
The arrest came in the midst of a raging battle between the AAP government and Delhi Lt Governor Najeeb Jung over the powers of the city government, giving a new political twist to the unsavoury fight.
Stung by the arrest, AAP unleashed a stinging attack on the Modi government accusing it of political vendetta and creating an "Emergency-like" situation in Delhi to avert the city government's crackdown on corruption.
One of the AAP leaders alleged that the arrest "conspiracy" was hatched in the Union Home Minister's office at the behest of Prime Minister Narendra Modi and the party would not be cowed down but fight back.