The Delhi High Court on October 29, issued notice to the Enforcement Directorate (ED) on a petition filed by Rashtriya Janata Dal (RJD) president Lalu Prasad Yadav challenging the framing of money laundering charges against him in the alleged IRCTC hotel case. Justice Sachin Datta sought the agency’s response and scheduled the next hearing for December 3.
Background
Yadav challenged the trial court’s September 10 order framing charges against him, his wife Rabri Devi, son Tejashwi Yadav and six others. The case concerns alleged irregularities in leasing two IRCTC hotels in Ranchi and Puri to Sujata Hotels during Yadav’s tenure as Union Railway Minister between 2004 and 2009.
The ED’s case originates from a Central Bureau of Investigation (CBI) FIR alleging that the hotel contracts were awarded through a manipulated tender process and that land was transferred at undervalued rates to entities allegedly linked to Yadav’s family.
While ordering charges,
"The trial court observed that the material on record raised serious suspicions regarding the alleged misuse of official position and possession of proceeds of crime by Rabri Devi and Tejashwi Yadav. It noted that the land in Patna was allegedly transferred to them through arrangements linked to Lalu Prasad Yadav during the period when he served as Union Railway Minister."
The trial court had also observed that railway officials allegedly manipulated the tender process for the hotels, while the subsequent transfer of land and company shares formed part of the prosecution’s allegations.
These observations relate to the stage of framing charges and do not constitute a final determination of guilt.
Justice Datta issued notice to the ED and permitted Yadav to seek an adjournment before the trial court until the High Court considers the matter further.
The petition will next be heard on December 3.
