NEW DELHI: A Delhi court on Friday issued notices to Congress leaders Sonia Gandhi and Rahul Gandhi in the National Herald money laundering case, marking a rare instance where the accused will be heard before the court considers taking cognisance of the charges.
Special Judge (PC Act) Vishal Gogne of the Rouse Avenue Court also issued notices to senior Congress leader Sam Pitroda, Suman Dubey, Sunil Bhandari, and the companies Young Indian and Dotex Merchandise Pvt Ltd, all named in the Enforcement Directorate’s (ED) prosecution complaint.
The judge said that those named by the ED have the right to be heard before cognisance is taken. He described this right as a “crucial part of ensuring a fair trial.”
During the hearing, Additional Solicitor General SV Raju, appearing for the ED, cited a previous case in which no notice was issued before summons, resulting in the Supreme Court staying the proceedings. In contrast, he supported issuing notice in the current case in line with Section 223, as interpreted in the Tarsem Lal judgment.
Judge Gogne observed that the case was at the stage of notice consideration, and the key legal question was whether Section 223 of the Bharatiya Nagarik Suraksha Sanhita (BNSS) mandates notice to be issued to the accused before taking cognisance. He held that it does, and that the provision is not inconsistent with the Prevention of Money Laundering Act (PMLA).
“Section 223 creates a special right for the accused to be heard even before cognisance,” the judge noted. “This provision reflects the spirit of a fair trial and is meant to protect against false implication. BNSS is a progressive law and this benevolent intent must be read in favour of the accused.”
Raju echoed the court’s reasoning. “We are not hiding anything. We are giving them the opportunity to present their side before cognisance is taken,” he submitted.
The court will next hear the matter on 8 May.
The ED recently filed its prosecution complaint under Sections 44 and 45 of the PMLA, 2002, citing offences under Section 3 read with Section 70, punishable under Section 4. The chargesheet names Rahul Gandhi, Sonia Gandhi, Sam Pitroda, Suman Dubey and others, including Young Indian and Dotex Merchandise Pvt Ltd.
The predicate offence in the case, registered as complaint case No. 18/2019, is already under trial at Rouse Avenue Courts. It involves offences under Sections 403 (dishonest misappropriation), 406 (criminal breach of trust), and 420 (cheating), read with Section 120B (criminal conspiracy) of the Indian Penal Code. Under Section 44(1)(c) of the PMLA, both the predicate offence and the money laundering case must be tried in the same court.
The National Herald case stems from a Rs 90 crore loan extended by the Congress party to Associated Journals Ltd (AJL), which owns the National Herald newspaper. This loan was later transferred to Young Indian for just Rs 50 lakh, allegedly resulting in the wrongful acquisition of assets worth over Rs 2,000 crore.
The case began with a private complaint by former Union Minister Subramanian Swamy, who accused Sonia Gandhi, Rahul Gandhi and others, including Motilal Vora, Oscar Fernandes, Suman Dubey, Sam Pitroda and Young Indian, of cheating, criminal conspiracy and misappropriation of property.
The ED formally filed its prosecution complaint against the Gandhis and the other accused on 15 April this year.
