Delhi Court Rejects ED's Money Laundering Case Against Gandhis in National Herald Matter

New Delhi:

The Enforcement Directorate's money laundering case against Sonia Gandhi, Rahul Gandhi, and five others in the National Herald case was refused cognisance by a Delhi court on Tuesday.

The Rouse Avenue Court declared that the agency's prosecution complaint filed under the Prevention of Money Laundering Act (PMLA) was not maintainable since the case originated from a private complaint by BJP leader Subramanian Swamy, rather than an official First Information Report (FIR).

The court also noted that Delhi Police's Economic Offences Wing had already registered an FIR in this matter, making it 'premature and imprudent' to rule on the ED's submission at this stage.

While the ED stated its intention to appeal this decision, the court confirmed that the agency could continue its investigation.

The Congress celebrated the dismissal with a "truth has prevailed" statement on X, stating: "The court has ruled the ED case is without jurisdiction, it has no FIR without which there is no case... The malafide and illegality of the (Narendra) Modi government stands fully exposed."

Photo Credit: Screengrab from X post by @INCIndia

The party further declared on X: "This politically motivated prosecution by the Modi government, over the last decade, of the principal opposition party stands exposed before the people of India."

Last month, the EOW filed its submission accusing Sonia Gandhi, Rahul Gandhi, and five others, including the Congress' overseas unit chief Sam Pitroda, of conspiring to 'fraudulently take-over Associated Journals Limited', the parent company of the now-defunct National Herald newspaper.

In response to these criminal conspiracy charges, Congress leader Abhishek Singhvi dismissed the case as the BJP 'conjuring a case out of its own twisted mind' and called the charges 'the BJP's recycled obsession'. The BJP countered with Tarun Chugh, the party's National General Secretary, telling reporters that the Congress 'is in a state of panic and frustration'.

Congress allies, including Priyanka Chaturvedi from the Uddhav Thackeray-led Shiv Sena, defended the party, stating: "The National Herald charges are nothing but a political witch hunt... a tool the BJP applies time to time to attack opposition voices. Shame that agencies continue to bend backwards to please political masters."

The National Herald was founded by Jawaharlal Nehru and others in 1938 as a newspaper owned and published by AJL. The publication, widely regarded as the Congress party's mouthpiece, ceased operations in 2008 with debts of Rs 90.21 crore, though it retained valuable real estate assets estimated at Rs 2,000 crore at that time.

According to the ED, these properties are now worth Rs 5,000 crore.

The case originated in November 2012 when Swamy filed a private complaint alleging that the Gandhis and other senior Congress leaders had fraudulently acquired control of AJL, claiming they took over properties worth hundreds of crores for merely Rs 50 lakh. These properties include the Herald House in Delhi and assets in Mumbai, reportedly valued at a combined Rs 661 crore.

Additional allegations suggest AJL had been using these properties - granted by the union government specifically for newspaper operations - for commercial purposes, generating rental income worth lakhs of rupees.

The ED has claimed these 'proceeds of crime' amount to Rs 998 crore.

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