National Herald case: Delhi High Court rejects Sonia, Rahul plea
In an embarrassment to the Congress, the Delhi High Court on Monday dismissed the appeals of party president Sonia Gandhi, vice-president Rahul Gandhi and others seeking quashing of the summons issued to them by a trial court in the National Herald case.
The Congress is likely to challenge the verdict in the Supreme Court on Tuesday.
The summons, in response to which the Congress leaders have to appear before a Metropolitan Magistrate on Tuesday, were issued on June 26 last on a complaint by BJP leader Subramanian Swamy of alleged cheating and breach of trust in the acquisition of the now-defunct National Herald by Young Indian Limited (YIL). The Congress leaders own a stake as directors in YIL, registered as a charitable company.
The complaint alleged corruption in the assigning of loan worth Rs. 90.25 crore owed to the Congress by Associated Journals Limited (AJL), publisher of the National Herald, to YIL for Rs. 50 lakh. Justice Sunil Gaur made some scathing remarks on the “questionable conduct” in the acquisition of the publication and said the criminal proceedings could not be thwarted at the initial stage.
Besides Ms. Sonia Gandhi and Mr. Rahul Gandhi, the five others — Motilal Vohra, Oscar Fernandez, Suman Dubey, Sam Pitroda and Young Indian Limited — challenged the summons.
The court said the gravity of the allegations had a “fraudulent flavour” involving a national political party. Therefore, serious imputations smacking of criminality levelled against the petitioners needed to be properly looked into, it said.
Congress leaders are likely to make an urgent mention in the Supreme Court before a Bench led by Chief Justice of India T.S. Thakur, seeking a stay on the order, as soon as the court convenes on Tuesday.
On the Congress leaders’ challenge to the locus standi of BJP leader Subramanian Swamy to make the complaint, the court said the plea of locus could not be restricted to typical cases of cheating and misappropriation as “here is a case where the act of office-bearers of a political party having criminal overtones is under scrutiny.”
The judge also ruled that no mala fides could be alleged against Dr. Swamy, nor could it be said that the summoning of petitioners was an abuse of the process of the court.
When the High Court pronounced the verdict, the Congress was leading the Opposition charge in Parliament, confronting the BJP over Minister of State V.K. Singh’s “dog” remarks. On hearing about the judgment, the party said it would challenge the verdict in the Supreme Court. At a hurriedly convened press interaction, senior leader Abhishek Manu Singhvi said the verdict took them by “surprise” as it lacked substantive legal grounds.
Criticising the BJP for playing “vendetta politics,” Congress spokesperson Randeep Singh Surjewala termed the complaint “mischievous and false.”
National Herald Case
What – Subramanian Swamy, the then Janata Party president, knocked the court’s door raising questions over acquisition of a company that published the now-defunct National Herald newspaper to which Congress gave a loan of over Rs 90 crore.
Who – Dr. Swamy alleged that Sonia Gandhi and Rahul Gandhi had floated a Section 25 company called ‘Young Indian’, which acquired Associated Journals, founded by late Jawaharlal Nehru, that published the National Herald and Quami Awaz.
How – Dr. Swamy claimed it was illegal for Congress, a political party, to give loans for commercial purposes. Young Indian wrote off the loans due to Congress for a mere Rs 50 lakh and by a board resolution, the Associate Journals is sold by transfer of shares to Young Indian, which is not a newspaper or journal producing company.
Why – The deal, Dr. Swamy alleged, was to grab prized property like Herald House in Delhi and other properties of the Associated Journals in Delhi and Uttar Pradesh.
Then – Rahul Gandhi threatened legal action against Dr. Swamy. Congress challenged Dr. Swamy to prove his allegations in a court of law. As Dr. Following Dr. Swamy’s plea, a Delhi court ordered the Gandhis to appear before it on August 7, which was challenged in High Court.
Next – Following the High Court’s order, the Congress leaders will have to appear before a Metropolitan Magistrate in whose court the hearing is scheduled for Tuesday.
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Source:Thehindu
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