Basti goes to polls on May 7 and the last date for filing nominations is April 19.
The announcement of the name was made by senior party leader Oscar Fernandes.
Congress suffered a blow yesterday when Jaiswal, an MLA from Rudauli seat of Basti, said he would fight the Lok Sabha polls only after charges against him were proved wrong.
In his letter to party president Sonia Gandhi, Jaiswal had said that Congress government has taken several measures for women empowerment, but unfortunately he has been accused of harassing a woman.
A woman has lodged an FIR with Lucknow police accusing Jaiswal of sexually harassing her.