The Enforcement Directorate (ED) has begun the process of taking possession of properties linked to Congress leaders Sonia Gandhi and Rahul Gandhi in the high-profile National Herald money laundering case.
On April 11, the ED issued formal notices to property registrars in Delhi, Mumbai, and Lucknow, targeting assets held by Associated Journals Limited (AJL) — a company acquired by Young Indian Limited (YIL), which is beneficially owned by Sonia and Rahul Gandhi.
Allegations of Financial Irregularities
The National Herald money laundering case revolves around allegations of financial misappropriation and money laundering in the acquisition of AJL by YIL. BJP leader Subramanian Swamy, who filed the initial complaint in 2014, alleges that the takeover was carried out in a “malicious manner” to gain control of AJL’s Rs 2,000 crore worth of real estate.
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The ED contends that investigations have unearthed laundering of proceeds of crime amounting to Rs 988 crore, directly linked to AJL’s assets. The move comes after an Adjudicating Authority confirmed the earlier provisional attachment of these properties on April 10.
Properties in Delhi, Mumbai, and Lucknow
In November 2023, the ED had provisionally attached immovable AJL assets in Delhi, Mumbai, and Lucknow, valued at Rs 661 crore, along with shares worth Rs 90.2 crore. The agency has now initiated proceedings to take formal possession of these assets.
A separate notice has been served to Jindal South West Projects, the current occupant of three floors in Herald House, Mumbai, instructing them to deposit all future rent directly to the ED.
Background and Legal Proceedings
The case, which stems from a 2014 private criminal complaint by Swamy, accuses Sonia Gandhi, Rahul Gandhi, and other senior Congress leaders of orchestrating a fraudulent acquisition of AJL’s assets through Young Indian for just Rs 50 lakh.
Despite multiple legal challenges, both the Delhi High Court and Supreme Court allowed the ED investigation to proceed. The agency formally launched its probe in 2021, conducting searches and seizures at several locations and claiming to have found documents exposing additional financial irregularities.
Complex Political-Financial Nexus
According to ED officials, the AJL–Young Indian nexus was allegedly used to generate illicit funds including:
- Rs 18 crore through bogus donations
- Rs 38 crore in advance rent
- Rs 29 crore through advertisements
The agency says the current action is intended to prevent the “continued enjoyment, use, and further generation” of tainted assets.
