"This disciplinary committee has decided to expel Vinod Kumar Binny and terminate his primary membership from the party, for publicly making false statements against the party and its leadership, thereby bringing disrepute to the party," the party said in a statement.
The party had formed a disciplinary committee on January 19 to look into the matter. The committee was headed by Pankaj Gupta and other members included Ashish Talwar, Illyas Azmi, Yogendra Yadav and Gopal Rai. The party said Binny has been sent a letter informing decision of the party.
39-year-old Binny, a former Congressman, had held a press conference on January 16 in which he had attacked Kejriwal and the party leaders, accusing them of "deviating" from the core principles of the party.
Subsequently, AAP had issued a showcause notice to him for violating the code of conduct under Section 6(1)(a) of the party constitution.
Binny had announced that he will sit on a dharna at Jantar Mantar if the party fails to fulfil the promises made to people by January 27.
In his press conference, Binny had slammed the leadership on a range of issues and said taking support of Congress to form the government was a "compromise of the party's principles".
He had said the party has "forgotten" its ideologies and become "an opportunist outfit" after coming to power. "They are using policy of use and throw. First, they have used Anna Hazare, Kiran Bedi and still many people in the party are being exploited," he had said.
Binny said though the party during the election campaign had promised to provide 700 litres of free water to each household, the government "very cleverly" announced that those exceeding the limit will have to pay for the full amount.
Rubbishing the MLA's criticism, Kejriwal had said that Binny had come to him for ministership and later he wanted to contest the Lok Sabha polls.
Binny had termed Kejriwal's statement on his seeking Lok Sabha ticket as the "biggest lie".
Binny had alleged that AAP "does not function democratically" and four-five people take all the decisions in the party.
He had claimed that Kejriwal gets angry if people do not agree with him.
The MLA had also come down hard on the ministers of Delhi government who have taken "big cars" bearing "fancy registration" numbers, saying it was against party principle.