Delhi court frames money laundering charges against Lalu family in IRCTC hotel case

A Delhi courtroom opens with a striking scene: a judge reads that nine people, including Lalu Prasad Yadav, Rabri Devi and Tejashwi Yadav, will face money laundering charges in the IRCTC hotel scam³¹. The order follows ED and CBI probes into tender manipulation and a tainted land transfer in Patna, tied to two IRCTC hotels³¹.

The judge notes there is a strong suspicion of abuse of office and proceeds of crime, while seven others are discharged from the case³¹. The court’s framing order lays out that the nine charged individuals will be tried for money laundering offenses under the Prevention of Money Laundering Act, in connection with alleged illicit gains linked to the IRCTC hotel projects and the broader tendering framework that governed the hotels’ development, with the ED and CBI investigations forming the evidentiary backbone of the charges³¹.

It is stated that the investigations traced money flows and documentary trails that allegedly connected the lead actors to improper advantages in the structure of the hotel ventures, even as the prosecution sides emphasize the role of the linked entities in routing funds and overseeing critical stages of tendering, land purchases, and project approvals³¹. The order confirms that the cases involve linked entities Lara Projects and Sujata Hotels, which are identified as part of the charge sheet and associated financial dealings that allegedly helped conceal proceeds of crime, while maintaining that the specific operations under scrutiny relate to the PM scheme and its execution within the IRCTC hotel programme³¹.

The next hearing is set for October 3, with the nine charged individuals to stand trial for PMLA offenses alongside the linked entities Lara Projects and Sujata Hotels, framing an ongoing judicial process that will now move to detailed examination of money trails, custodial statements, and documentary evidence in a bid to determine the precise nexus between alleged illicit gains and the official actions that enabled the hotel ventures³¹.