ED Cracks Down on National Herald, Seizes Assets Worth Rs 661 Crore Amidst Political Storm
The Enforcement Directorate (ED) has announced that it is taking steps to seize immovable assets worth Rs 661 crore, located in Delhi, Mumbai, and Lucknow, as part of its ongoing investigation into a money laundering case related to the National Herald newspaper and Associated Journals Limited (AJL). This move comes after the ED issued a provisional attachment order in November 2021, and subsequent court confirmations in April 2022.
The assets are linked to AJL, which publishes the National Herald, and Young Indian, a private company that owns the newspaper. Both Sonia Gandhi and Rahul Gandhi, majority shareholders of Young Indian, were questioned by the ED in 2022 as part of the investigation. The case centres around alleged money laundering activities, including the acquisition of AJL assets for a sum of Rs 50 lakh, significantly undervaluing their worth.
The ED claims that its investigation has revealed significant generation, possession, and use of proceeds of crime worth Rs 988 crore. In a statement, the agency said that the attachment of these properties is necessary to secure the proceeds of crime and prevent their dissipation. The notices served to registrars of property in Delhi, Mumbai, and Lucknow seek vacation of the premises, while Jindal South West Projects Limited, which occupies the 7th, 8th, and 9th floors at Herald House, Bandra (E), Mumbai, has been asked to transfer the rent/lease amount every month in favour of the ED.
The investigation began in 2021, following a private complaint filed by Subramanian Swamy. The ED said that its investigation has uncovered incriminating documents linked to alleged money laundering activities, including bogus donations, advance rent, and advertisements. The agency claims that Young Indian and AJL properties were used to generate further proceeds of crime, totalling Rs 18 crore, Rs 38 crore, and Rs 29 crore, respectively.
The ED has also stated that its findings indicate that Young Indian acquired AJL properties worth Rs 2,000 crore for a mere Rs 50 lakh, significantly undervaluing their worth. The agency has initiated proceedings to take possession of these tainted properties, in compliance with the Prevention of Money Laundering Act (PMLA) and Prevention of Money Laundering (Taking Possession of Attached or Frozen Properties Confirmed by the Adjudicating Authority) Rules, 2013.
Reacting to the development, Congress MP Abhishek Manu Singhvi said that the move is an attempt to “over-sensationalise” the investigation and harass political opponents. He claimed that proper remedies and remedial action will be taken in the courts.
Keywords: Enforcement Directorate, money laundering, National Herald, Associated Journals Limited, Young Indian, Sonia Gandhi, Rahul Gandhi, Congress, Prevention of Money Laundering Act.
Original Source: https://indianexpress.com/article/india/ed-issues-notice-possession-assets-cong-linked-ajl-case-9940494/
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Publish Date: 2025-04-13 02:37:00
