NEW DELHI: In a major setback to Congress leaders Sonia Gandhi and Rahul Gandhi, the Delhi Police’s Economic Offences Wing has registered a fresh FIR against them and six others in the decade-old National Herald money laundering case.

The FIR, registered on October 3, 2025, follows a detailed complaint from Shiv Kumar Gupta, Assistant Director of the Enforcement Directorate’s Headquarters Investigation Unit, and invokes charges of criminal conspiracy, dishonest misappropriation of property, criminal breach of trust and cheating.

On November 29, 2025, the Rouse Avenue Court postponed its decision on whether to take cognizance of the ED’s chargesheet, deferring the order to December 16 and observing that the accused have a “right to be heard” before any decision is taken.

According to the FIR, Sonia Gandhi, Rahul Gandhi, Suman Dubey, Sam Pitroda, Young Indian, Dotex Merchandise Pvt Ltd, Sunil Bhandari and Associated Journals Ltd have been named as accused. Except for Sam Pitroda, who now resides in Oak Brook, Illinois, all others are residents of India.

The FIR alleges an elaborate criminal conspiracy to fraudulently take over properties worth over Rs 2,000 crore belonging to Associated Journals Limited, the original publisher of the National Herald. It states that this takeover was executed by Young Indian, in which Sonia Gandhi and Rahul Gandhi held controlling stakes, for a “paltry sum of Rs 50 lakhs only.”

It details how the All India Congress Committee gave cumulative loans of Rs 90.21 crore to AJL between 2002–03 and 2010–11 and treated the amount as non-recoverable despite AJL holding valuable properties. The FIR states: "The scheme of fraud was executed by Young Indian purchasing from AICC the right to recover the loan of Rs. 90.21 cr. (given by AICC to AJL) for a paltry sum of Rs. 50 lakhs and simultaneously, AJL converted the outstanding loan of Rs. 90.21 crore into 9.02 crore equity shares of face value Rs. 10 each in favour of Young Indian, thereby defrauding shareholders of AJL on one hand and also the public donors of AICC by dishonestly inducing AICC to forego its valuable right to recover Rs. 90 Crore advanced to AJL."

The FIR says AJL shareholders were cheated as their shareholding was diluted when Young Indian was issued 99% of the company’s shares. It adds: "ED investigation reveals that, Young Indian was effectively controlled by Sh. Rahul Gandhi and Smt. Sonia Gandhi since they together held 76% of shares through a well-thought-out conspiracy."

Young Indian was incorporated on November 23, 2010 with a capital of Rs 5 lakh, and through transfers and allotments, Sonia and Rahul Gandhi each came to hold 38% of its shares. Sam Pitroda and Suman Dubey were the original shareholders with 550 shares each. On January 22, 2011, fresh allotments and transfers brought in Sonia Gandhi and Rahul Gandhi as 38% shareholders each, while Motilal Vora and Oscar Fernandes received 12% each.

The FIR traces the case back to BJP leader Subramanian Swamy’s 2013 complaint at Patiala House Courts. The court took cognizance in June 2014. It quotes the order: "In the Order passed, Ld. MM observed that Young Indian was created as a sham or a cloak to convert public money to personal use or as a special purpose vehicle for acquiring control over Rs. 2000 Cr. worth of assets of AJL and accused person have allegedly acted in consortium with each other to achieve the said nefarious purpose."

The High Court later refused to interfere with the cognizance order.

The FIR lists three major AJL properties allegedly diverted for private gain: Herald House in New Delhi, AJL House in Bandra East, Mumbai, and a property at Bisheshwar Nath Road in Lucknow. It states: "The above facts and circumstances of the case enumerate the issue of government properties being allotted to AJL at subsidized rates for larger public purposes, only to be usurped and misused by the beneficial owners of Young Indian and thus represents a serious form of criminal conspiracy and financial fraud."

It alleges AJL shareholders were cheated when Young Indian gained 99% ownership through decisions taken by “only 7 members of the company who together held 0.00005% of the total shareholding in AJL.” It adds: "…the fraudulent misrepresentations made to the general body of shareholders of AJL leading to wrongful gain of almost Rs 2000 crores in favour of Young Indian and its owners namely Smt. Sonia Gandhi and Sh. Rahul Gandhi and the corresponding wrongful loss to the shareholders of Young Indian clearly makes out an offence of criminal conspiracy and cheating."

The FIR also outlines how AICC and its donors were allegedly defrauded, stating: "The concerned office bearers of AICC viz. the then President Sonia Gandhi and General Secretary Rahul Gandhi by 'selling' AICC's right to recover a loan of Rs. 90.21 crores from AJL for a paltry sum of Rs 50 lakhs to Young Indian has virtually deprived AICC not only the right to recover the entire Rs. 90.21 crore but also the option of converting this debt into equity shares from AJL which would have entitled AICC as a 99% shareholder to properties worth almost Rs. 2000 crores…"

According to the FIR, Young Indian acquired proceeds of crime in the form of AJL shares, immovable properties and rental income. It states that the properties, valued at Rs 755 crore, were treated as proceeds of crime, and notes rental income of Rs 142.67 crore between 2010–11 and 2022–23 as "direct proceeds of crime." The total proceeds of crime are pegged at Rs 988.03 crore. ED had attached properties worth Rs 751.91 crore on November 20, 2023.

The FIR cites three additional alleged frauds: bogus donations of Rs 18.12 crore to Young Indian in 2017–18 “to discharge the income tax demand,” fake advance rent of Rs 38.41 crore received by AJL from nine entities on instructions of Congress leaders, and fake advertisement revenue of Rs 29.45 crore between 2017–18 and 2020–21. It states: "Most of the advertisement given does not commensurate with business purposes of the donors as these advertisements are mostly in the form of congratulatory messages/birthday wishes to congress top leaders."

It also details how Young Indian arranged the Rs 50 lakh payment to AICC, citing a Rs 1 crore loan from Dotex Merchandise Pvt Ltd, described as a “shell company.” Part of this was used for the Rs 50 lakh payment toward acquiring AICC’s right to recover Rs 90.21 crore from AJL.

The FIR was registered based on information shared by the Enforcement Directorate under Section 66(2) of the Prevention of Money Laundering Act. After approval from ED Director Rahul Naveen, the complaint was sent to the Commissioner of Police for action.