New Delhi, May 9, 2025: The Rouse Avenue District Court on Thursday adjourned proceedings in the high-profile National Herald money laundering case involving senior Congress leaders Sonia Gandhi and Rahul Gandhi. Special Judge Vishal Gogne postponed the hearing to May 21 and 22, citing partial service of notice to one of the proposed accused.
The Enforcement Directorate (ED), which has filed a prosecution complaint (chargesheet) under the Prevention of Money Laundering Act (PMLA), submitted that notices had been issued to all named individuals as per earlier court directives. However, the court recorded that service to technocrat and former Indian Overseas Congress Chairman Sam Pitroda (proposed accused no. 4) was affected only on an alternate email ID earlier in the day.
“Since the notice has purportedly been served upon an alternative email ID upon the proposed accused 4 (Sam Pitroda) only today, it is appropriate that submissions on the aspect of cognisance are heard on the next date of hearing,” the court stated in its order.
Background
The ED’s chargesheet stems from a private criminal complaint originally filed in 2014 by BJP leader Dr. Subramanian Swamy. The agency initiated a financial probe in 2021, alleging large-scale money laundering and financial misappropriation in the alleged fraudulent acquisition of Associated Journals Limited (AJL) assets—estimated to be worth over ₹2,000 crore—by Young Indian Pvt. Ltd., a company closely linked to the Congress leadership.
According to the ED, Young Indian acquired 100% shares of AJL in 2010 through a complex web of transactions that violated PMLA provisions. Sonia Gandhi and Rahul Gandhi each hold a 38% stake in Young Indian, effectively giving them majority control over the entity.
Other individuals named in the chargesheet include the late Congress leaders Motilal Vora and Oscar Fernandes, as well as Suman Dubey and Sam Pitroda. The ED has alleged that Congress party funds were used illegitimately to finance Young Indian’s acquisition of AJL, whose properties were intended for journalistic use but were allegedly repurposed for commercial gain.
Prior Proceedings
On May 2, the Delhi court issued formal notices to Sonia Gandhi, Rahul Gandhi, and other proposed accused, emphasizing their legal right to be heard before the court takes cognisance of the chargesheet. Judge Gogne underscored the necessity of maintaining procedural fairness and upholding the principles of natural justice during the pre-cognisance stage.
The matter will now come up for consideration on May 21 and 22, when the court is expected to hear submissions regarding the cognisance of the ED’s complaint.
Case Title: Directorate of Enforcement v. Sonia Gandhi & Ors.
