National Herald case: Delhi HC issues notice to Sonia, Rahul on ED's plea

New Delhi, Dec 22 (IANS) The Delhi High Court on Monday issued notice to Congress Parliamentary Party Chairperson Sonia Gandhi, Leader of Opposition in the Lok Sabha Rahul Gandhi and others on a criminal revision petition filed by the Enforcement Directorate (ED) challenging a trial court order that refused to take cognisance of its money laundering complaint in the alleged National Herald case.

After hearing the ED, a single-judge Bench of Justice Ravinder Dudeja sought responses from the Gandhis and issued notice on the main plea as well as the stay application.

Justice Ravinder Dudeja has listed the Enforcement Directorate’s plea, challenging the Rouse Avenue Court’s dismissal of its prosecution complaint under the Prevention of Money Laundering Act (PMLA), for further hearing on March 12, 2026.

Earlier, Special Judge (PC Act) Vishal Gogne of the Rouse Avenue Court had declined to take cognisance of the ED's complaint, holding that it was not maintainable in law.

While granting relief to Sonia Gandhi and Rahul Gandhi, the trial court had clarified that the ED was at liberty to continue its investigation in accordance with the law.

Apart from the Gandhis, the ED has arrayed Congress Overseas chief Sam Pitroda, Suman Dubey, Sunil Bhandari, Young Indian and Dotex Merchandise Private Limited as proposed accused in the case.

Appearing for the ED, Solicitor General Tushar Mehta submitted before the Delhi High Court that if the trial court’s order is allowed to stand, it would render the PMLA redundant. “This brings the PMLA on its head. It becomes otiose and redundant if this order is to sustain,” SG Mehta said.

The Centre’s second-highest law officer argued that the trial court had committed a grave error by holding that the ED could not act where a court has taken cognisance of a private complaint under Section 200 of the CrPC.

He argued that such an interpretation could affect several other cases, implying that only a police FIR can initiate proceedings under the PMLA.

During the hearing, the Delhi High Court asked if there was any pending case in which the Enforcement Directorate had acted after a court had taken cognisance of a private complaint. In response, SG Mehta said that the PMLA does not prescribe any specific mode or manner for registration of a money laundering offence, adding that all that is needed is an allegation of criminal activity connected to a scheduled offence.

The high-profile case relates to allegations that senior Congress leaders conspired to illegally acquire control over assets worth more than Rs 2,000 crore belonging to Associated Journals Ltd (AJL), the original publisher of the National Herald newspaper, by paying a nominal sum of Rs 50 lakh through Young Indian, a company in which Sonia and Rahul Gandhi are majority shareholders.

The controversy over the National Herald’s assets came into focus in 2012 when BJP leader Subramanian Swamy filed a private complaint in a trial court, alleging that Congress leaders had engaged in cheating and breach of trust in the process of acquiring AJL.