New Delhi, Oct 2026 : The Delhi High Court on Thursday sought a response from the Enforcement Directorate (ED) on a petition filed by former railway minister and Rashtriya Janata Dal (RJD) chief Lalu Prasad Yadav challenging a trial court order directing the framing of money laundering charges against him in the alleged IRCTC hotel scam case.
Justice Sachin Datta issued notice to the central probe agency on Yadav’s plea challenging the trial court’s September 10 order. The High Court scheduled the matter for further hearing on December 3.
The ED’s money laundering case stems from a First Information Report (FIR) registered by the Central Bureau of Investigation (CBI). The FIR alleges that Yadav entered into a criminal conspiracy with Sarla Gupta, the owner of Sujata Hotels and wife of his close associate and former RJD Rajya Sabha MP Prem Chand Gupta, along with officials of the Indian Railway Catering and Tourism Corporation (IRCTC).
According to the allegations, the conspiracy was aimed at securing “undue pecuniary advantage” for Yadav and others during the period between 2004 and 2014.
In his petition before the Delhi High Court, Yadav argued that the trial court had ordered the framing of money laundering charges merely because charges had been framed against him in the underlying scheduled offence. He maintained that he had never been involved in any process or activity connected with the alleged proceeds of crime.
The petition described the trial court’s order as legally unsustainable and argued that the decision was based on an incorrect assessment of the circumstances. It also pointed out that the ED had never summoned Yadav for questioning during its investigation, which, according to his plea, supported his contention that he was not involved in activities linked to the alleged proceeds of crime.
On September 10, the trial court ordered the framing of money laundering charges against Yadav, his wife Rabri Devi, son Tejashwi Yadav and six others in the case.
The court had observed that the ED’s allegations, covering the period from 2005 to 2014, indicated that railway officials had allegedly manipulated a tender under Yadav’s stewardship to award the lease of railway hotels in Ranchi and Puri to Sujata Hotels.
The trial court discharged seven of the 16 accused in the case.
Separately, in the CBI case concerning the alleged IRCTC hotel scam, the trial court had framed corruption charges against Yadav and 11 others in October last year.
The Delhi High Court’s proceedings will now consider Yadav’s challenge to the order framing money laundering charges. The allegations remain subject to judicial proceedings, and the High Court is yet to decide the merits of his petition.
