Congress Accuses BJP of Misusing ED for Political Gain: National Herald Case

Sonia and Rahul Gandhi targeted in what Congress calls a political move to hide the BJP’s Failures.

Summary of the Article

• Congress leader Vijay Inder Singla called the National Herald case a political conspiracy by the BJP.
• The party claims the Enforcement Directorate (ED) is being misused to distract the public from national issues.
• BJP allegedly wants to defame the freedom struggle legacy by attacking the National Herald.
• Rahul Gandhi had recently criticized BJP strongly at a Congress session in Gujarat.
• Congress claims no illegal money transfer happened, and the charges are politically motivated.
• The National Herald newspaper was founded during the freedom struggle, not for profit.
• AJL, its publisher, was in financial trouble; Congress helped by giving ₹90 crore over 10 years.
• Young Indian, a non-profit company, was formed to revive AJL legally.
• No member of the Gandhi family received personal financial benefit from this move.
• Congress compares the ED action to selective justice and political bullying by the Modi government.

In a powerful press conference held at Rajiv Gandhi Bhavan, senior Congress leader and former MP Vijay Inder Singla accused the BJP of misusing government agencies to run a political vendetta. Speaking on the recent actions taken by the Enforcement Directorate (ED) against Sonia Gandhi and Rahul Gandhi, he said the National Herald case is not a legal issue but a political conspiracy created by the ruling party.

Singla said that the BJP is using the ED to distract the public from real issues such as inflation, unemployment, and governance failures. According to him, the case is being used to defame the Gandhi family, shift attention away from the problems of the common man, and distort the history of India’s freedom struggle.

He stated that BJP was shaken after the Congress Party’s recent historic session in Gujarat, where Rahul Gandhi sharply criticized the failures of the Modi government. In response, the BJP allegedly unleashed their favorite weapon,  the ED, on Congress leaders again.

The Congress Party has alleged that the Enforcement Directorate has been turned into a political weapon by the Modi-Shah leadership. Singla referred to it as a “criminal collection machine” being used not for justice, but for harassment.

He pointed out that:

• The conviction rate of ED is just 1%.
• 98% of ED’s political cases are against opposition leaders.

Congress says this selective targeting proves that the ED is being misused as a political tool, not a law enforcement agency.

Congress strongly rejected the charges of money laundering, stating that no money was illegally transferred, and no personal profit was made by anyone. In fact, the party questioned how money laundering can be claimed in a case where not even a single rupee changed hands.

The case is related to a loan of ₹90 crore that the Congress Party gave to Associated Journals Ltd. (AJL) — the publisher of the National Herald newspaper — over ten years (2002–2011). This loan was legally taken over by Young Indian, a non-profit company formed in 2010 to revive AJL and its media operations.

The National Herald was founded in the late 1930s as a newspaper that supported India’s freedom movement. It was never meant to earn profits. AJL, the company behind it, owned properties in several cities — Delhi, Mumbai, Patna, Panchkula, Indore, and Lucknow.

Congress highlighted that these properties cannot be sold due to government restrictions. Only the Lucknow property is freehold; the others are on lease. Therefore, claims that AJL owns property worth ₹5000 crore are false and misleading.

In 2010, the Congress Party, after taking legal advice, formed Young Indian Limited, a Section 25 (now Section 8) company, which means it is a non-profit entity. Its aim was to revive AJL and continue the legacy of the National Herald.

The Shareholders were:

• Smt. Sonia Gandhi
• Shri Rahul Gandhi
• Late Shri Motilal Vora
• Late Shri Oscar Fernandes

Other directors included Sam Pitroda and Suman Dubey, who were not shareholders.

Young Indian acquired the ₹90 crore debt from the Congress Party for just ₹50 lakh. AJL’s debt was then converted into equity, giving Young Indian control of AJL. Congress clarified that no director or shareholder received salary, dividend, or personal gain, not even if the company is shut down.

Congress compared this debt-to-equity conversion to many corporate restructurings. They pointed out that this is a common and legal practice even under India’s Bankruptcy Code. They cited examples like Ruchi Soya, which was bought by Patanjali after debt relief, and how the government waived off Vodafone’s ₹36,000 crore debt.

Congress claims this is a financially sound and transparent transaction, not a crime. They believe this is being blown out of proportion purely for political revenge.

• The case was originally filed by BJP leader Subramanian Swamy in 2013. But interestingly, Congress pointed out that:
• He himself delayed the case for years.
• He even asked for a stay on his own cross-examination, and
• He later appeared to go against his own claims.

Congress says this proves that the case has no strong legal standing.

• Delay Shows Weakness of the Case
• The ED filed a provisional property seizure order in 2023, which was confirmed by a tribunal on April 10, 2024. According to law, the ED had 365 days to file a charge sheet, which it did on the last possible day: April 9, 2025.
• Congress said if there were solid evidence, why would the ED wait until the last day? They see it as proof that the government has no real case and is simply trying to harass the opposition.

Vijay Inder Singla declared that the Congress Party will not be silenced. He said this is an attack on democracy and an attempt to intimidate the only party that stands for the people and the values of the Constitution.

“We will continue to fight politically and legally. Those who try to scare others are the ones who are scared,” he said.

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