On Wednesday, the Enforcement Directorate (ED) claimed before a court that Sonia Gandhi and Rahul Gandhi have benefited from ₹142 crore in alleged “proceeds of crime” tied to the National Herald money laundering probe. Additional Solicitor General S.V. Raju argued that the funds continued to enrich the accused until the ED froze related assets in November 2023.
“The money laundering offence persists not only at the point of acquisition but also through continued retention of illicit gains,” ASG Raju told Special Judge Vishal Gogne at Rouse Avenue Courts.
Charges and Next Steps
The ED’s prosecution complaint—filed under the Prevention of Money Laundering Act (PMLA)—names the Gandhis, Congress Overseas Chief Sam Pitroda, Suman Dubey, and others. The agency values the alleged proceeds at ₹988 crore, accusing the Congress leadership of diverting Associated Journals Limited (AJL) assets into private hands via Young Indian Ltd.:
AJL, the original National Herald publisher, had accrued ₹90 crore in debts before halting operations in 2008.
In 2012, BJP leader Subramanian Swamy lodged a complaint alleging a “malicious” takeover using Young Indian—majority‑owned by the Gandhis—acquiring AJL assets for just ₹50 lakh.
The ED has attached immovable properties worth ₹661 crore and AJL shares valued at ₹90.2 crore as suspected proceeds of crime.
After hearing the ED’s opening submissions, Judge Gogne scheduled day‑to‑day hearings from July 2 to 8, directing the agency to provide a copy of its complaint to Swamy. Earlier this month, the court had asked the accused to explain why the ED’s charges should not be admitted.
Historical Context
Founded in 1938 by Jawaharlal Nehru and other leaders, the National Herald served as the Congress party’s voice during India’s freedom struggle and early years of independence, publishing editions in English, Hindi, and Urdu. Its assets have been central to a decade‑long legal battle over alleged breach of trust and property misappropriation.
As the PMLA case advances, the ED will substantiate how Young Indian’s acquisition and subsequent control of AJL assets violated trust laws, while the Gandhis and co‑accused prepare their defense against these serious allegations.
