Relief to Sonia & Rahul Gandhi as Delhi Court Dismisses ED Complaint in National Herald Case

A Delhi court granted significant relief to Sonia Gandhi and Rahul Gandhi by dismissing the Enforcement Directorate’s complaint in the National Herald case. The court held that the ED failed to establish the essential ingredients of money laundering under the Prevention of Money Laundering Act. It observed that the alleged transactions did not involve “proceeds of crime” as required by the statute. The order underscored that mere corporate restructuring or transfer of shares, without evidence of criminal activity generating illicit proceeds, cannot attract PMLA provisions. The ruling serves as an important reminder that PMLA is a stringent law requiring strict compliance with statutory thresholds before criminal liability can be imposed.