New Delhi: The Enforcement Directorate (ED) has submitted a charge sheet against former Congress president Sonia Gandhi and Rahul Gandhi, the leader of the opposition in the Lok Sabha. This marks the first charge sheet filed against both leaders in connection with the ED’s investigation into the financial dealings of the National Herald newspaper, which is affiliated with the Congress party, as reported by sources on Tuesday.
The charge sheet, presented to a Delhi court on April 9, identifies Sonia and Rahul Gandhi as accused number 1 and 2, respectively, under sections 3 and 4 of the Prevention of Money Laundering Act (PMLA), which pertain to money laundering and its penalties, as well as section 70, which addresses offenses committed by companies. If the charges are substantiated, they carry a maximum prison sentence of seven years.
In addition to the Gandhis, the charge sheet also names Sam Pitroda, the head of the Congress’ international division, and Suman Dubey, a former journalist and close associate of the Gandhis, both of whom are founding directors of Young Indian Private Limited (YI). Sonia and Rahul Gandhi collectively own a 76% stake in this company. Furthermore, a Kolkata-based private firm, Dotex Merchandise Pvt Ltd, along with its office bearer Sunil Bhandari, has also been implicated.
The Congress party has denounced the charge sheet as an act of “political vendetta” and “intimidation” orchestrated by Prime Minister Narendra Modi and Home Minister Amit Shah. Congress leader Jairam Ramesh expressed on X that “the seizure of National Herald’s assets represents a state-sponsored crime disguised as adherence to the law. The filing of charge sheets against Smt. Sonia Gandhi, Rahul Gandhi, and others is merely a manifestation of the PM and HM’s rampant politics of vendetta and intimidation.”
The INC and its leadership will not be muted. Satyameva Jayate, he remarked.
On April 11, just two days after the charge sheet was filed, the Enforcement Directorate (ED) issued notices to seize the immovable assets of Associated Journals Ltd (the publisher of National Herald) and Young Indian, valued at ₹661 crore, which includes the National Herald building in Delhi. On November 20, 2023, assets totaling ₹751.9 crore (comprising ₹661 crore in immovable property and shares worth ₹90 crore) belonging to AJL and YI were attached by the agency.
The ED’s main accusations against the Gandhis assert that they are the beneficial owners of YI, which acquired the assets of the newspaper’s parent company, Associated Journals Limited, valued at ₹2,000 crore, for only ₹50 lakh. According to details from the ED charge sheet provided by an officer on Tuesday, the current market value of these assets is estimated at ₹5,000 crore.
The federal agency claims to have identified proceeds of crime amounting to ₹988 crore in this case. As per court documents reviewed by HT, this figure includes real estate and other assets valued at ₹755 crore, shares worth ₹90 crore, and rental income of ₹142 crore accrued since the 2010-11 fiscal year. The rent was generated by AJL from its prime properties located in Delhi, Mumbai, Indore, Panchkula, Lucknow, and Patna after YI assumed control of the company in the 2010-11 financial year, according to the ED.
Sonia Gandhi, a current Rajya Sabha member from Rajasthan, was interrogated by the ED for approximately 11 hours over three days in July 2022, while Rahul Gandhi, a member of parliament representing the Rae Bareli constituency, faced nearly 40 hours of questioning across four sessions in June 2022. They were asked about their involvement in the daily operations of YI, a loan of ₹90.21 crore extended by the All India Congress Committee (AICC) to AJL, and transactions related to the development of an AJL property in Mumbai.
Founded in 1937 by Pandit Jawahar Lal Nehru, AJL published the National Herald, Qaumi Awaz in Urdu, and Navjeevan in Hindi. It was allocated land in various Indian cities for the purpose of newspaper publication.
