Mr Jaitley headed the DDCA or Delhi and District Cricket Association for 13 years till 2013.
Sources say AAP plans to file a First Information Report alleging forgery, corruption and loot of public money.
Mr Jaitley has rubbished the allegations and said he will sue Chief Minister Arvind Kejriwal, the chief of AAP, for defamation.
Cases will also be filed today against AAP’s Kumar Vishwas, Ashutosh, Sanjay Singh, Raghav Chadha, Deepak Bajpayee, news agency Press Trust of India quoted Mr Jaitley as saying.
The row involves alleged financial irregularities in DDCA and it surfaced after a CBI raid on Mr Kejriwal’s top officer last week. AAP alleges that the CBI officers only wanted to look at the DDCA files.
At a press conference yesterday, BJP lawmaker and former cricketer Kirti Azad said that contracts were given to fake companies, crores were paid to them in cash and accounts were fudged.
The lawmaker, who went public with the allegations defying his party BJP, said he was a “fan” of Prime Minister Narendra Modi’s campaign against corruption and was out to counter corruption.
The DDCA has admitted that there were irregularities, but has absolved Mr Jaitley of any involvement.
“After Arun Jaitley left, the president of DDCA sent Rs. 155 crore without any authorisation… We suspended him, he got an interlocutory order from the court, we had an inquiry also and we took away all his powers,” said DDCA treasurer Ravindra Manchanda
The Delhi government has ordered an inquiry headed by former Solicitor General of India Gopal Subramaniam.
AAP has insisted that Mr Jaitley must resign or be removed for a fair investigation.
Mr Jaitley has said that the Serious Fraud Investigation Office, under the UPA regime, had “investigated and could not find a shred of evidence” against him. “No personal allegation was ever made against me nor did I ever feel the need of contradicting it,” he had added.
The minister’s party is solidly backing him and has dismissed Mr Kejriwal’s claims as “malicious”.