The National Herald Scam
#Cosmoread- : The National Herald was established in 1938 by Jawaharlal Nehru . Nehru started it at a time when he seemed unable to make an impact on the reactionary tendencies of the Congress Party. It allowed him to express himself in regards to unpopular stances that would not have been possible to defend as a politician. While the newspaper suffered from financial troubles from the very beginning and had its set backs in the 1940s and 1970s until it finally closed down in 2008.
In 1938, K.Rama.Rao was appointed the first ever editor in National Herald. The newspaper’s fate was closely tied with the Indian National Congress which is the very reason why it had its short period shut downs in 1940s and 1970s. Even after it was shut down completely in 2008, it has its controversies on till now. The much popular National Herald scam case against the very leaders of the congress party Sonia Gandhi and Rahul Gandhi is ongoing in the Delhi Court. The case was lodged against them by the Indian Economist and Politician Subramanian Swamy. As per the case filed with the Magistrate, the Gandhi’s, their companies and the associated persons are charged with not repaying a loan or repaying the same in cash which is in violation of Section 269T of the Income Tax Ac, 1961. The Indian National Congress had approved an interest free loan of Rs90 crores to the Associated Journals Limited, who is the owner of the National Herald. AJL is an unlisted public company with its founder Jawaharlal Nehru, but he never was the owner of the same. It was started with the support from more than 5000 freedom fighters who were all allocated shares in AJL. Another company, Young Indian, was started in Nov’10 which acquired Associated Journals Limited and all its properties in which Sonia Gandhi and Rahul Gandhi were charged of criminal misappropriation.
In 2012, Mr.Swamy filed a case in Delhi court alleging both Sonia and Rahul that they have committed fraud and land grabbing worth Rs 16 Billion. The allegation was that the fraud has been done by acquiring a public limited company from their own private company “Young Indian”. Also, AJL approved a loan transfer of Rs 90 crore from party funds of All India Congress Committee. Swamy’s argument was that its illegal to use a political party’s fund for any commercial purposes according to Representation of the People Act, 1951 and Section 13A of Income Tax Act,1961. Swamy further demanded a CBI investigation to the matter and also dismissing AICC party for misutilizing public fund.
The party responded by making it clear that the purpose of lending money was for revival of AJL and nothing else. On June 26, 2014 the Metropolitan Magistrate summoned Sonia Gandhi, Rahul Gandhi, Oscar Fernandes, Motilal Vora, Satyan Pitroda and Suman Dubey to appear in the court on 7 August 2014. On the day, Ms. Gomati Manocha said that as per the evidence so far, “it appears that YIL was in fact created as a sham or a cloak to convert public money to personal use” to acquire control over ₹20 billion (US$300 million) worth of AJL assets. The court noted that all accused persons had allegedly acted “in consortium with each other to achieve the said nefarious purpose/design”.
The defendants did appeal in Delhi High Court which elongated the process. Hence, Swamy appealed in Supreme Court for speedy trial of the case in trial court. Delhi High Court then on 7th Dec 2015 ordered all to present themselves on 9th Dec. They didn’t appear but were given bail to all but one on 19th Dec 2015. Next hearing is Scheduled on 16th Feb 2016.
Its quite evident from the whole scenario about the huge fraud these people are involved with specially when you have AJL, YI both of them related to a single entity AICC.