The 60 year old man and 63 year old woman, both from Strathalbyn, who were arrested by Major Crime Investigation Branch detectives earlier this morning for blackmail offences, have both been granted court bail.

ABC Radio this morning named the pair as former Labor MP Annabel Digance and her husband, businessman Greg Digance.

Ms Digance won the state seat of Elder at the 2014 election, when there was controversy about a flier asking 'Can you trust Habib?' referring to her Liberal opponent Carolyn Habib.

Ms Habib won the seat at the 2018 election and later changed her surname to Power, following her marriage.

Ms Digance recently revived the controversy, telling the ABC she had been bullied and intimated by the ALP into staying quiet about her objections to the flier.

SAPOL says the victim of the alleged blackmail is state Labor leader Peter Malinauskas.

"Mr Malinauskas firstly approached SAPOL in February, 2020 and the investigation has been ongoing since then – culminating in today’s arrests.

"Mr Malinauskas continues to assist investigators with this matter with SAPOL supporting him as we do for any other victim of crime."

The offence of blackmail carries a maximum penalty of 15 years imprisonment.

Mr and Mrs Digance will next appear in the Adelaide Magistrates Court on 15 June 2021 at 11.30am.