The court held that the ED’s prosecution complaint was not maintainable under the PMLA as it was not based on an FIR relating to a scheduled offence.
BY PC Bureau
December 16, 2025: A Delhi court on Tuesday declined to take cognisance of the Enforcement Directorate’s money laundering complaint in the National Herald case, which names Congress leaders Rahul Gandhi and Sonia Gandhi as accused.
Special Judge Vishal Gogne of the Rouse Avenue Courts pronounced the order, holding that the ED’s prosecution complaint was not maintainable in law as it was not based on an FIR relating to a scheduled offence under the Prevention of Money Laundering Act (PMLA).
The court observed that the money laundering proceedings stemmed from a cognisance and summoning order passed on a private complaint filed under Section 200 of the CrPC by Dr Subramanian Swamy, rather than from an FIR. It noted that in the absence of an FIR for a scheduled offence, the ED could not sustain prosecution under the PMLA.
While delivering the order, the judge pointed out that the Economic Offences Wing of the Delhi Police has since registered an FIR in the matter, and said it would therefore be premature to examine the ED’s submissions on merits at this stage.
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“Since the prosecution complaint relating to the offence of money laundering is founded on a cognisance and summoning order upon a complaint under Section 200 CrPC filed by a public person, and not upon an FIR, cognisance of the present complaint is impermissible in law,” the court ruled. It further held that an investigation and the consequent prosecution complaint for offences under Sections 3 and 4 of the PMLA cannot be sustained in the absence of an FIR pertaining to a scheduled offence, leading to the dismissal of the ED’s complaint.
Big news – Special Court rejects ED’s Prosecution Complaint against Sonia Gandhi, Rahul Gandhi and others in the alleged National Herald money laundering case.
Court rules that ED could not have registered ECIR and initiated money laundering case without a FIR.
ED initiated… pic.twitter.com/9SyhRU9QKN— Rakesh Singh 🇮🇳 (@rakeshjournal) December 16, 2025
The ED had filed a fresh prosecution complaint against Rahul Gandhi and Sonia Gandhi under Sections 44 and 45 of the PMLA, alleging commission of the offence of money laundering as defined under Section 3, read with Section 70, and punishable under Section 4 of the Act.
The case relates to the acquisition of Associated Journals Limited (AJL), the publisher of the now-defunct National Herald newspaper. In 2010, a newly incorporated company, Young Indian Private Limited (YIL), acquired AJL’s debts from the Indian National Congress for ₹50 lakh. Thereafter, YIL took control of AJL’s assets, valued at over ₹2,000 crore.
Sonia Gandhi and Rahul Gandhi are majority shareholders in YIL, prompting allegations that party funds were used to gain control over AJL’s valuable properties. The ED’s probe, initiated in 2014, examined financial transactions involving the Congress party, AJL and YIL, and alleges that the Gandhis and other Congress leaders orchestrated a scheme to misappropriate AJL’s assets.
More recently, the ED has moved to take possession of AJL-linked properties worth around ₹661 crore under the provisions of the PMLA.
