Rahul Gandhi Tells Court Congress Aimed to Revive National Herald, Not Sell AJL Assets
ED accuses Young Indian of illegally acquiring ₹2,000 crore worth of assets; defence calls charges misconstrued and politically motivated
New Delhi, July 6, 2025 — Leader of Opposition Rahul Gandhi appeared before a Special Delhi Court on Saturday and rejected allegations of money laundering in the National Herald case, asserting that the Congress party only intended to revive the legacy newspaper, not profit from the assets of Associated Journals Limited (AJL).
Appearing on behalf of Gandhi, senior advocate R.S. Cheema argued that the Enforcement Directorate (ED) had presented a “squinted version” of facts and ignored key documentation, including the Memorandum of Association (MoA) of AJL.
“The AICC never intended to sell AJL’s properties. The goal was to revive the National Herald, a media outlet from the freedom movement era,” said Cheema.
What Is the National Herald Case?
The case revolves around the alleged misuse of AJL’s assets, estimated at around ₹2,000 crore. The ED claims that the assets were illegally acquired by Young Indian, a private firm in which Rahul Gandhi and Sonia Gandhi together hold a 76% stake.
The ED alleges that Young Indian was created to fraudulently acquire AJL’s properties by paying a nominal sum of ₹50 lakh, enabling the Gandhi family to gain indirect control over valuable real estate across India.
Courtroom Developments: Defence Counters ED
- The defence stated that AJL was not a commercial entity and had no plans to sell its properties.
- The Congress party’s intention was to preserve the National Herald’s legacy, not exploit its real estate assets.
- Cheema pointed out that the ED had failed to submit AJL’s MoA, which outlines that AJL’s editorial policy aligns with the Indian National Congress.
On Friday, Congress leader Sonia Gandhi’s lawyer, Abhishek Manu Singhvi, also called the ED’s case “unprecedented” and “strange,” noting that “no tangible assets changed hands” and there was no laundering of money in the conventional sense.
ED’s Allegations and Asset Attachments
During hearings on Thursday and Friday, Additional Solicitor General S.V. Raju, representing the ED, concluded his arguments in support of taking cognisance of the prosecution complaint filed under the Prevention of Money Laundering Act (PMLA).
Key ED allegations include:
- Young Indian Ltd was used as a front to usurp AJL's assets.
- Other directors and stakeholders were mere "puppets" under the Gandhi family’s influence.
- AJL properties worth ₹661 crore and AJL shares worth ₹90.2 crore were attached in November 2023 as “proceeds of crime.”
Political Backdrop and Subramanian Swamy’s Role
The controversy gained traction in 2012, when BJP leader Subramanian Swamy filed a private complaint in a Delhi trial court. Swamy alleged that the Congress leadership had breached public trust and cheated in the acquisition of AJL, setting off the chain of investigations.
According to ED’s investigation, Young Indian — despite being non-profit on paper — had effective control over AJL’s prime properties in cities like Delhi, Mumbai, Lucknow, and Bhopal.
Next Steps: Accused Asked to File Submissions
Special Judge Vishal Gogne has now directed all proposed accused — including Rahul Gandhi, Sonia Gandhi, Sam Pitroda, and Suman Dubey — to file their written submissions in response to ED’s arguments.
The case is likely to impact the political climate, particularly with the INDIA bloc accusing the government of weaponizing central agencies.
Why This Matters
The National Herald case is politically significant, involving the top leadership of India’s principal opposition party. It raises questions about the use of investigative agencies, corporate governance in political trusts, and the intersection of law and politics in India’s democracy.
As the 2025 Assembly elections approach in several states, the outcome of this case — and its public perception — may have ripple effects across the political spectrum.