Delhi court refuses to take cognizance of National Herald money laundering case against Rahul Gandhi, others: Here's why

A Delhi court has on 16 December refused to take cognizance of the National Herald money laundering case by the Enforcement Directorate (ED) against Rahul Gandhi, Sonia Gandhi, and five others, PTI reported.

The Rouse Avenue court told the ED it may continue further investigation. But that the court cannot take cognisance at this stage. It reasoned that since the case is based on a private complaint filed by Subramanian Swamy in 2013 and the magistrate’s summoning orders, and not on any official first information report (FIR) filed with the police, the court cannot act, ANI added.

The Enforcement Directorate has said it will appeal the court order, PTI added.

National Herald money laundering case: Why did court refuse to take cognizance?

• As per the PTI report, Special Judge Vishal Gogne said that the chargesheet filed in the case is based on an investigation into a complaint by a private person and not on an FIR of a predicate offence. Adding, “Its cognizance is impermissible in law.”
• Further, reading out the operative part from the order, Justice Gogne said that the Delhi Police's Economic Offences Wing (EOW) has already lodged an FIR in the case, and hence it will be premature to adjudicate on ED's arguments in the case based on merits.

What are allegations against Sonia Gandhi, Rahul Gandhi, others?

• The ED has accused Congress leaders Sonia Gandhi and Rahul Gandhi, and late party leaders Motilal Vora and Oscar Fernandes, along with Suman Dubey, Sam Pitroda, and a private company, Young Indian, of conspiracy and money laundering.
• The investigative agency has claimed that the accused acquired properties worth approximately ₹2,000 crore belonging to Associated Journals (AJL), which publishes the National Herald newspaper.
• ED also alleged that the Gandhis held the majority 76% shares in Young Indian, which “fraudulently” usurped the assets of AJL in exchange for a ₹90 crore loan.

• The ANI report added that the agency has attached AJL properties worth ₹751.91 crore as part of its money-laundering probe.
• The Opposition Congress on its part, has alleged that the proceedings are politically motivated and denied any wrongdoing. Reacting to the court's order today, the party claimed that “illegality of Modi government is fully exposed”, PTI report added.
• The ruling BJP meanwhile has rejected these claims, asserting that the allegations disclose serious financial irregularities predating the current government.

(With inputs from Agencies)