Delhi court notice to Sonia, Rahul Gandhi after ED names them in National Herald case

A Delhi court on Friday issued notices to Congress leaders Sonia Gandhi and Rahul Gandhi in connection with the National Herald money laundering case.

National Herald case

Image Credit: Asianet News

Delhi’s Rouse Avenue Court on Friday issued a formal notice to Congress leaders Sonia Gandhi and Rahul Gandhi in connection with the National Herald money laundering case. 

The court said they have the legal right to be heard before it considers whether to take cognisance of the charges filed by the Enforcement Directorate (ED), reports Bar and Bench.

The ED had filed a prosecution complaint (chargesheet) against the Gandhis and other accused under the Prevention of Money Laundering Act (PMLA). The court noted that earlier technical issues in the chargesheet have now been resolved. The focus is now on whether the court should issue notice under Section 223 of the Bharatiya Nagarik Suraksha Sanhita (BNSS), a provision that ensures a special right to be heard at this early stage.

The judge emphasised that Sonia Gandhi, Rahul Gandhi, and others named in the ED’s chargesheet are entitled to present their side before the court decides to formally proceed with the case. This protection is unique to this stage of trial and comes under a special proviso of Section 223 of the BNSS.

The court has scheduled the next hearing for May 8, when it will consider the matter further.

The National Herald case relates to the alleged financial misappropriation and illegal takeover of Associated Journals Limited (AJL), which once published the National Herald newspaper. The ED has accused the Gandhis of using party funds to gain control over AJL’s real estate assets through a company called Young Indian Pvt Ltd (YIL).

In 2010, YIL took over the debts of Associated Journals Limited (AJL) — the publisher of the now-defunct National Herald newspaper — from the Indian National Congress for Rs 50 lakh. This effectively gave Young Indian control over AJL’s assets, which were reportedly valued at over Rs 2,000 crore.

The ED began investigating the matter in 2014, probing how party funds were allegedly used in the process. According to the agency, the entire deal was structured to gain control of AJL's valuable real estate assets for personal and political benefit, in violation of the law.

The ED recently moved to attach properties linked to AJL worth Rs 661 crore under the money laundering law. The court has now asked Sonia and Rahul Gandhi to respond to the ED’s allegations. Their replies will determine the next course of legal action.

The court has made it clear that the Gandhis have the right to be heard before any further steps are taken. The matter will be taken up again later this month.