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National Herald case

About National Herald case

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What is National Herald case

In 2012, Bharatiya Janata Party (BJP) leader and advocate Subramanian Swamy filed a complaint before a trial court alleging that some Congress leaders were involved in cheating and breach of trust in the acquisition of Associated Journals Ltd by Young Indian Ltd (YIL). He alleged that YIL had 'taken over' the assets of the National Herald in a 'malicious' way.

Both Rahul Gandhi and Sonia Gandhi have been summoned by the ED in a probe related to the National Herald case. The ED is currently probing the shareholding pattern, the financial transactions of AJL and YIL, and the role of party functionaries in the functioning of the two entities.
 
About National Herald
 
The National Herald was a newspaper founded by Jawaharlal Nehru along with other freedom fighters in 1938. It was meant to voice the concerns of the liberal brigade in the Indian National Congress. Published by Associated Journals Limited (AJL), this newspaper became a mouthpiece of the Congress party after Independence. AJL also published two other newspapers, one each in Hindi and Urdu. In 2008, the paper closed down with a debt of over Rs 90 crore.
 
About Associated Journals Ltd
 
Associated Journals Ltd (AJL) was a brainchild of Jawaharlal Nehru. In 1937, Nehru started the firm with 5,000 other freedom fighters as its shareholders. The company did not belong to any person in particular. In 2010, the company had 1,057 shareholders. It incurred losses, and its holdings were transferred to Young India in 2011.
 
AJL published the National Herald newspaper in English, Qaumi Awaz in Urdu and Navjeevan in Hindi until 2008. On January 21, 2016, AJL decided to relaunch these three dailies.

About Young India Ltd
 
Young India Ltd was set up in 2010, with Rahul Gandhi, then a general secretary of the Congress party, as a director. While Rahul Gandhi and his mother Sonia hold 76 per cent of the company's shares, the remaining 24% are held by Congress leaders Motilal Vora and Oscar Fernandes. The company is said to have no commercial operations.
 
Allegations by AJL shareholders
 
Many shareholders, including former law minister Shanti Bhushan and former chief justice of Allahabad and Madras High Courts Markandey Katju alleged that they were not served any notice when YIL 'took over' AJL and that the shares held by their fathers were transferred to AJL in 2010 without their consent.
 
Who has been named in the National Herald case by Subramanian Swamy?
 
Sonia Gandhi, Rahul Gandhi, Motilal Vora, Oscar Fernandes, journalist Suman Dubey and technocrat Sam Pitroda have been named in Swamy’s National Herald case.
 
National Herald case: Explained
 
Subramanian Swamy claims that YIL “took over” over the assets of the defunct print media outlet in a “malicious” manner to gain profit and assets worth over Rs 2,000 crore.
 
Swamy also alleged that YIL had paid just Rs 50 lakh to obtain the rights to recover Rs 90.25 crore which AJL owed the Congress party; it was given the amount earlier as a loan to start the newspaper. He also alleged that the loan given to AJL was “illegal”, as it had been taken from party funds.
 
In 2014, the Enforcement Directorate initiated a probe to see if there was any money laundering in the case. On 18 September 2015, it was reported that the Enforcement Directorate had reopened its investigation in the National Herald case.
 
Congress' response to the allegations
 
The Congress party has claimed that YIL was created “with an aim of charity” and not for any profit. It also claimed that there was “no illegality” in the transaction, as it was “merely a commercial transaction” for transferring shares of the company. It also raised objections to the complaint filed by Swamy, labelling it as “politically motivated”.
 
National Herald case: The story so far
 
In 2015, the Supreme Court asked Swamy to make out a case for speedy trial in high court. Sonia and Rahul Gandhi were granted bail in the case by the trial court on December 19, 2015. In 2016, the Supreme Court granted an exemption to all the five accused in the case (the Gandhis, Motilal Vora, Oscar Fernandes and Suman Dubey) from personal appearances while refusing to quash proceedings against them.
 
In 2018, the Centre decided to end the 56-year-old perpetual lease and evict AJL from Herald House premises on the ground that the latter was not conducting any printing or publishing activity — the ostensible objective for which the building was allotted in 1962. The L&DO had wanted the AJL to hand over possession by November 15, 2018. The eviction order claimed the building was used solely for commercial purposes. However, on April 5, 2019, the Supreme Court ordered a stay on proceedings against AJL under the Public Premises (Eviction of Unauthorised Occupants) Act, 1971, until further notice.

Latest Updates on National Herald case

Karnataka Congress president D K Shivakumar on Monday appeared before the Enforcement Directorate in Delhi for a fresh round of questioning in the National Herald money laundering case.

Updated On: 14 Nov 2022 | 4:42 PM IST

Karnataka Congress president DK Shivakumar on Sunday said that he would not appear before the Enforcement Directorate (ED) on Monday in connection with the National Herald case

Updated On: 07 Nov 2022 | 6:52 AM IST

The ED has summoned Karnataka Congress President for questioning in its ongoing money laundering probe into the operations of the Congress party-owned National Herald newspaper, official sources said

Updated On: 02 Oct 2022 | 8:44 PM IST

Public can't be blamed for being wary of the current Congress protests against price rise and unemployment. They have too closely tailed protests directed against ED summons to Sonia and Rahul Gandhi

Updated On: 08 Aug 2022 | 8:33 AM IST

Party stages marches and demonstrations; Parliament adjourned amid ruckus

Updated On: 06 Aug 2022 | 1:58 AM IST

Launching a scathing attack, Rahul Gandhi said he is "not afraid of Narendra Modi" and will not be "intimidated" by the Enforcement Directorate action in the National Herald case

Updated On: 04 Aug 2022 | 12:59 PM IST

A day after the ED sealed Herald House, the Congress on Wednesday gave multiple adjournment motion notices in the Lok Sabha and suspension of business notice in the Rajya Sabha.

Updated On: 04 Aug 2022 | 10:06 AM IST

Congress came down heavily on the BJP government at the Centre, accusing the ruling dispensation of treating its party leaders as 'terrorists'

Updated On: 04 Aug 2022 | 8:06 AM IST

The temporary seal has been put in order to "preserve the evidence" which could not be collected as authorised representatives were not present during the raids on Tuesday, they said.

Updated On: 03 Aug 2022 | 8:25 PM IST

He made these remarks while hitting out at the BJP government for the ED raids at the head office of the Congress party-owned National Herald newspaper here and 11 other locations

Updated On: 02 Aug 2022 | 6:30 PM IST

The raids come after the probe agency questioned Congress president Sonia Gandhi and her MP son Rahul at its headquarters

Updated On: 02 Aug 2022 | 10:10 PM IST

Congress chief Sonia Gandhi was questioned by the (ED) for the third time in a week on Wednesday over her role in the National Herald newspaper linked money laundering case

Updated On: 28 Jul 2022 | 2:14 AM IST

Congress interim president Sonia Gandhi's questioning on Wednesday by the Enforcement Directorate (ED) in the National Herald newspaper case ended after three hours.

Updated On: 27 Jul 2022 | 3:51 PM IST

The Congress on Wednesday alleged that an ailing Sonia Gandhi was being harassed by the Enforcement Directorate (ED) at the behest of the government

Updated On: 27 Jul 2022 | 1:44 PM IST

Congress MPs held a sit-in at Vijay Chowk over the alleged misuse of investigative agencies and suspension of Opposition legislators

Updated On: 27 Jul 2022 | 1:18 PM IST

Congress president Sonia Gandhi on Wednesday recorded her statement for the third time before the Enforcement Directorate (ED) in the money laundering case linked to the National Herald newspaper.

Updated On: 27 Jul 2022 | 12:54 PM IST

Youth Congress workers were detained after they staged a 'rail roko' protest at a station against Congress chief Sonia Gandhi's questioning by the ED, police said

Updated On: 27 Jul 2022 | 12:10 PM IST

Congress interim president Sonia Gandhi will depose before the Enforcement Directorate (ED) for her third round of questioning in the money laundering case linked to the National Herald newspaper.

Updated On: 27 Jul 2022 | 10:58 AM IST

While Congress President Sonia Gandhi was being questioned by the Enforcement Directorate in National Herald case, Telangana Congress leaders staged a protest at Gandhi Bhavan in Hyderabad on Tuesday.

Updated On: 27 Jul 2022 | 9:41 AM IST

Congress president Sonia Gandhi was interrogated by the ED for six hours on Tuesday

Updated On: 27 Jul 2022 | 9:32 AM IST