In what could be a setback to Sonia Gandhi and Rahul Gandhi, the Delhi High Court on 12 May made way for Income Tax department investigation on the Young India company.
The high court also said that the company cannot be arrogant and will have to submit their documents to the Income Tax department.
Earlier, Patiala House court had allowed investigation of Gandhis in the case, which was challenged at the Delhi HC.
What Is the National Herald Case?
BJP leader Subramanian Swamy had accused Sonia, Rahul Gandhi and others of conspiring to cheat, and of misappropriating funds by paying just Rs 50 lakh through which Young India obtained the right to recover Rs 90.25 crore, which the AJL had owed to the Congress party. Sonia, Rahul, Vora (AICC Treasurer), Fernandes (AICC General Secretary), Dubey and Pitroda were then summoned under Sections 403 (dishonest misappropriation of property), 406 (criminal breach of trust) and 420 (cheating), read with Section 120B (criminal conspiracy) of the IPC.
The trial court had on 26 June 2014 asked them to appear on 7 August 2014, but the order was stayed on 6 August by the Delhi High Court. On 7 December 2015, the trial court vacated the stay by rejecting the plea to quash the complaint and summons.
According to Swamy’s complaint, all of the accused were directors of Young India Ltd (YI), a company that was incorporated in 2010 and which took over the “debt” of Associated Journals Ltd (AJL), the publisher of National Herald.
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