NEW DELHI: (Jul 3) The Enforcement Directorate on Wednesday told a Delhi court that Congress leaders Sonia Gandhi and Rahul Gandhi intended to siphon off ₹2,000 crore from Associated Journals Limited (AJL), the former publisher of the National Herald newspaper, The Indian Express reported.

Appearing for the agency, Additional Solicitor General SV Raju alleged that the Congress party extended an interest-free loan of ₹90 crore to AJL in exchange for a consideration of just ₹50 lakh. This debt, he said, was then converted into equity in favour of the not-for-profit firm Young Indian, in which the Gandhis hold a 76% stake.

“AJL was not generating profits, but it owned assets worth ₹2,000 crore,” Raju told the court. “Why couldn’t they repay ₹90 crore? Any prudent entity would have liquidated assets to clear such dues.”

According to India Today, the ED accused the Congress leadership of conspiring to form Young Indian as a vehicle to unlawfully acquire AJL’s assets. The agency alleged that this was done through a series of “bogus transactions” involving multiple Congress leaders and a ₹90 crore party loan.

“The intent was to usurp AJL,” Raju said, as quoted by India Today. “The creation of Young Indian was part of a larger conspiracy to siphon off ₹2,000 crore. Sonia Gandhi and Rahul Gandhi wanted complete control over the company.”

The ED filed its chargesheet in the case on April 9. Prior to that, the agency had seized properties worth ₹661 crore in Delhi, Mumbai, and Lucknow in connection with the alleged money-laundering operation.