New Delhi, August 19(HS):

The Rouse Avenue Court in Delhi has sought clarification from the Enforcement Directorate (ED) in connection with its complaint regarding the National Herald case. Special Judge Vishal Gogne, after reviewing documents presented before the court, asked the ED’s counsel to provide explanations. The matter is scheduled for the next hearing on August 26.

Earlier, on August 18, the court had examined the documents in the presence of ED Assistant Director Shiv Kumar Gupta. On August 7, the judge had specifically sought clarity from the investigating officer on the extent of involvement of Sonia Gandhi and Rahul Gandhi in the case. Notably, on July 14, the court had reserved its order after several rounds of hearings.

During arguments, the ED had alleged that donors to the Congress Party were defrauded, with some donors later being rewarded with election tickets. Appearing for the ED, Additional Solicitor General S.V. Raju referred to witness testimonies to support this claim and countered the Gandhis’ position that they had no control over Associated Journals Limited (AJL). ED maintained that AJL was originally the publisher of the National Herald.

On the other hand, senior advocate R.S. Cheema, representing Rahul Gandhi, argued that Congress had never attempted to sell AJL but only sought to revive the entity, given its historic connection to the freedom movement. He questioned why the ED had withheld AJL’s Memorandum of Association, stressing that the company — founded in 1937 by Jawaharlal Nehru, J.B. Kripalani, Rafi Ahmad Kidwai, and other Congress leaders — had always maintained its policies in line with the Congress Party.

For Sonia Gandhi, senior advocate Abhishek Manu Singhvi contended that the ED’s case was “astonishing and unprecedented,” pointing out that this was a money laundering case without any mention of specific assets. He explained that “Young Indian” took steps merely to make AJL debt-free — a legitimate corporate restructuring tool — and was a not-for-profit entity. Singhvi accused the ED of acting belatedly and relying on a private complaint as the basis of prosecution.

Earlier, on May 2, the court had issued notices to Sonia Gandhi, Rahul Gandhi, and five others in this matter. The ED filed its prosecution complaint on April 15, naming Congress leaders Sonia Gandhi, Rahul Gandhi (Leader of Opposition in the Lok Sabha), and Sam Pitroda, among others, under Sections 44 and 45 of the Prevention of Money Laundering Act (PMLA).

The origins of the case lie in a complaint filed by BJP leader Subramanian Swamy, who alleged that the ₹1,600-crore Herald House building on Bahadur Shah Zafar Marg in Delhi — originally allotted by the government for newspaper operations — was acquired through a “conspiracy” by transferring AJL’s assets to Young Indian Ltd. Swamy has argued that the property cannot be commercially exploited, as its allotment was subject to specific journalistic use.

Next Hearing is set for August 26.

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Hindusthan Samachar / Jun Sarkar