IRCTC 'scam': Court says Lalu Prasad ‘abused’ his position; Tejashwi calls father ‘management guru’

The Rouse Avenue Court framed charges against former Railway Minister Lalu Prasad Yadav, Rabri Devi, Tejashwi Yadav and others in criminal Conspiracy and sections related to other offences in the IRCTC hotel corruption case.

Written By Akriti Anand
Published13 Oct 2025, 03:40 PM IST
New Delhi: RJD chief Lalu Prasad Yadav leaves Rouse Avenue Court after hearing on charges in the IRCTC scam case, in New Delhi, Monday, Oct. 13, 2025.
New Delhi: RJD chief Lalu Prasad Yadav leaves Rouse Avenue Court after hearing on charges in the IRCTC scam case, in New Delhi, Monday, Oct. 13, 2025. (PTI)

As a Delhi court framed charges against Rashtriya Janata Dal (RJD) president Lalu Prasad Yadav in the alleged IRCTC scam case on Monday, it reportedly said that Yadav "engaged in conspiracy and abused [his] position."

On Monday, the Rouse Avenue Court framed charges against former Railway Minister Lalu Prasad Yadav, Rabri Devi, Tejashwi Yadav and others in criminal Conspiracy and sections related to other offences in the IRCTC hotel corruption case.

The charges were framed under different sections for cheating, conspiracy and offences related to corruption. However, all the accused are charged with criminal conspiracy, news agency ANI reported.

Also Read | Charges framed against Lalu Yadav, Tejashwi Yadav, Rabri Devi in IRCTC scam case

Special Judge (PC Act) Vishal Gogne of the Rouse Avenue Courts pronounced the order in open court, and the court will upload a detailed order. The court said that there is sufficient ground to frame charges against all 14 accused persons.

What did the court say in its order?

According to India Today, the Delhi court, while announcing the order, said that Lalu Prasad Yadav abused his position as a Union Railway Minister and manipulated the eligibility conditions of the land tender.

"You engaged in conspiracy and abused your position as a public servant. You influenced the tender and manipulated eligibility conditions. You conspired for the undervalued purchase of land parcels," the Delhi court was quoted as saying.

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"You conspired with other accused for the subsequent transfer of effective control over these land parcels to Rabri Devi and Tejashwi Yadav," it added.

In a detailed order passed on Monday, Judge Gogne said that he had come to a prima facie conclusion that Lalu Yadav was in the complete know of the processes and intervened to influence the transfer of the hotels.

“There were material modifications in the tender process...It has emerged as a distinct possibility that at the point of sale, the land parcels were undervalued and then came to be vested in the hands of Lalu Yadav,” the court said, as per Bar and Bench.

The court observed that Lalu Yadav’s actions caused great loss to the public exchequer. “Various persons engaged in a conspiracy which may have involved multiple smaller conspiracies,” the court added.

The court further stressed that the entire process amounted to crony capitalism in the garb of promoting private participation.

"This conspiracy is not entirely hidden; the entire transaction is prima facie fraudulent, and the accused cannot be discharged at this stage," the court reportedly said.

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What's the IRCTC hotel corruption case?

The charges were framed against Lalu Yadav and other on Monday in connection with the IRCTC hotel corruption case.

The case pertains to alleged corruption in the tender of two IRCTC hotels in Ranchi and Puri during the tenure of Lalu Prasad Yadav as Railway Minister. It is connected with a period when Lalu Prasad Yadav was Railway Minister during 2004-2009.

It is alleged that the maintenance contract of two IRCTC hotels, namely BNR Ranchi and BNR Puri, was transferred to Sujata Hotel, a private firm owned by Vijay and Vinay Kochar.

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The CBI alleged that in return for this deal, land worth crores was transferred to a company allegedly linked to Lalu’s wife Rabri Devi and son Tejashwi Yadav at a fraction of its market value, Bar and Bench reported.

The CBI had lodged an FIR on July 5, 2017. A charge sheet was filed in April 2018. CBI had invoked section 120B read with 420 of IPC, section 13(2) read with 13(1)(d) of the Prevention of Corruption Act.

What's next?

Rabri Devi and Tejashwi Yadav are charged with Section 420, 120B of IPC for the offence of cheating and conspiracy.

The case will proceed to trial since all the accused have pleaded not guilty.

Tejashwi calls father ‘management guru’

On Delhi's Rouse Avenue Court framing charges against Lalu Prasad Yadav and others in the IRCTC hotels corruption case, RJD leader Tejashwi Yadav said, “... We will fight this case. We have been saying this from the beginning that since the elections are coming, all this will happen. We respect the verdict of the court. We will fight the case...”

“The people of Bihar are smart, and they know what is happening. All this is a political vendetta. The person who gave 90,000 crore in profit to the Railways, who always reduced fares in every budget,” he said.

Bihar's former Deputy Chief Minister said, "He has been known as a historic Railway Minister. Students from Harvard and IIM came to study from Lalu ji. He has been known as the Management Guru. The people of Bihar and the country know the truth. I will keep fighting with the BJP as long as I am alive..."

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