Tuesday, February 24, 2026

Delhi Court Dismisses ED Complaint Against Rahul Gandhi, Sonia Gandhi in National Herald Case

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On December 16, 2025, a Delhi court dismissed the Enforcement Directorate’s (ED) complaint against senior Congress leaders Rahul Gandhi and Sonia Gandhi in the National Herald case, citing non-compliance with mandatory legal requirements under the Prevention of Money Laundering Act (PMLA).

National Herald case ED complaint dismissed
Senior Congress leaders Sonia Gandhi and Rahul Gandhi.

The ruling provided procedural relief to the accused without addressing the merits of the allegations.

Special Judge Vishal Gogne of the Rouse Avenue Court, which handles economic offence cases, passed the order.

The court ruled that the Enforcement Directorate’s complaint was not maintainable under the Prevention of Money Laundering Act (PMLA)

because it lacked a registered First Information Report (FIR) for a scheduled offence, a mandatory legal requirement to initiate money-laundering proceedings

Court’s Findings on Jurisdiction

The court observed that under the PMLA, the ED can investigate or prosecute money-laundering offences only

when there is an underlying predicate offence listed in the Schedule to the Act, supported by a duly registered FIR.

The FIR acts as the jurisdictional trigger for the ED to exercise its powers.

In the present case, the court noted that no FIR had been registered against Rahul Gandhi, Sonia Gandhi,

or Young Indian Private Limited, the company central to the case. As a result, the ED lacked the jurisdiction required to proceed under the PMLA.

Instead of relying on an FIR, the ED based its complaint on a private criminal complaint filed in 2012 by BJP leader Subramanian Swamy.

The court held that a private complaint, by itself, does not satisfy the legal threshold required to initiate proceedings under the PMLA.

Consequently, the ED’s complaint failed to meet the statutory conditions necessary for prosecution.

Background of the National Herald Case

The National Herald case concerns Associated Journals Limited (AJL),

the publisher of the National Herald newspaper, and Young Indian Private Limited,

a company in which Rahul Gandhi and Sonia Gandhi hold a majority stake.

National Herald case ED complaint dismissed (PC : LiveLaw.in)

The case involves allegations that Young Indian acquired AJL’s assets through a series of transactions that resulted in financial irregularities.

The ED has alleged that these transactions caused an estimated loss of over ₹2,000 crore,

claiming that AJL’s shares were transferred improperly, enabling Young Indian to gain control over valuable real estate assets owned by AJL.

The agency has classified these transactions as proceeds of crime under the PMLA.

However, the court clarified that these allegations, regardless of their nature, cannot be examined under the PMLA framework unless the foundational legal requirement of a scheduled offence supported by an FIR is fulfilled.

Scope of the Court’s Order

The court emphasized that its decision does not absolve the accused of wrongdoing on merit.

The dismissal strictly addresses a procedural defect—namely, the absence of an FIR for a scheduled offence. The judge stated that evaluating evidence or substantive allegations would be legally impermissible without first establishing jurisdiction under the PMLA.

The ruling reinforces the principle that statutory safeguards and procedural compliance are integral to criminal prosecution,

particularly in cases involving economic offences and money laundering.

Legal Implications

Legal observers note that the judgment reiterates the importance of strict adherence to procedural requirements under the PMLA.

The Act grants wide investigative powers to enforcement agencies, but courts have consistently held that such powers must be exercised within the boundaries set by law.

The ED retains the option to challenge the ruling before a higher court or initiate fresh proceedings if it ensures compliance with statutory requirements, including the registration of a valid FIR for a scheduled offence.

Political and Legal Context

The ruling has drawn attention due to the political prominence of the individuals involved.

While Congress leaders have described the decision as affirmation of due process,

opposition parties have stated that the National Herald matter remains subject to further legal proceedings.

Conclusion

The Delhi court’s dismissal of the ED’s complaint in the National Herald case underscores the judiciary’s role

in enforcing procedural legality in money-laundering cases.

The case continues to remain significant within India’s legal and political landscape,

highlighting the balance between investigative authority and statutory safeguards under economic offence laws.

Fbb daily

Meghna Bhardwaj

FBB DAILY

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Meghna Bhardwaj

Meghna Bhardwaj

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