What is National Herald Scam and why Sonia, Rahul Gandhi are summoned to court: Explained

Sonia Gandhi and Rahul Gandhi, Congress President and Vice President respectively were summoned by a court in Delhi in connection with National Herald scam case.

Congress has been holding protests across the country claiming that it was nothing but political vendetta against the Gandhis. Anti-Narendra Modi posters were surfaced at several places in India.

What is National Herald Scam?

• BJP leader Subramanian Swamy alleged that the Gandhis formed a company, Young India (YIL), in 2010.
• Both Sonia and Rahul have 38 percent share each in the company.
• The Gandhis took control of Rs 2,000 crore worth of assets of Associated Journals Ltd (AJL).
• AJL used to publish the National Herald.
• The National Herald was started in 1938 by Jawaharlal Nehru.
• The paper lost circulation and ran into major financial losses.
• The paper was closed in 2008.

What are Subramanian Swamy's allegations against the Gandhis?

• Gandhis allegedly closed AJL in 2008 due to financial crisis.
• Sonia, Rahul stopped printing the National Herald and sister publications Navjivan (Hindi) and Qaumi Awaz (Urdu), which were saddled with huge unpaid debts.
• Gandhis received interest-free loan of Rs 90.25 crore from the Congress and the party transferred the debt to YIL for Rs 50 lakh.
• To resolve the financial crisis, AJL transferred the share equity to Young India.
• The Gandhis made a mere payment of Rs 50 lakhs without taking any reference from the shareholders. Young India thus acquired the complete ownership of AJL real estate assets.
• The assets are worth Rs 2,000 crores, including a multi-storey building in a prime location in Delhi.

Who are the accused in the case?

Sonia Gandhi, Rahul Gandhi, Suman Dubey, Moti Lal Vohra, Oscar Fernandez, Sam Pitroda.

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