The Enforcement Directorate (ED) has summoned Rashtriya Janata Dal (RJD) chief Lalu Prasad Yadav for questioning on Wednesday in connection with its money laundering investigation into the land-for-jobs scam, which dates back to his tenure as Union Railway Minister from 2004 to 2009, sources familiar with the matter said on Tuesday.
Other members of Lalu Yadav’s family, including his son Tej Pratap Yadav and wife Rabri Devi, have also been asked to appear before investigators on Tuesday, officials confirmed.
The case involves allegations that appointments for Group-D positions in the Indian Railways were made between 2004 and 2009 in violation of recruitment norms. It is alleged that candidates, either directly or through their family members, transferred land to Lalu Yadav’s family members at heavily discounted prices—often as low as one-fourth or one-fifth of the market value—in exchange for railway jobs.
The ED’s investigation is based on a First Information Report (FIR) filed by the Central Bureau of Investigation (CBI), which is conducting a parallel corruption probe into Lalu Yadav and his family.
Both agencies have filed multiple charge sheets in the case and obtained prosecution sanction against the RJD leader from the relevant authorities.
Key Allegations
In its charge sheet filed in August 2024 under the Prevention of Money Laundering Act (PMLA), the ED claimed that Lalu Yadav used his close aide, Amit Katyal, to incorporate a company, AK Infosystems, to acquire multiple land parcels in Patna. Once these acquisitions were complete, Katyal transferred 100% of the company’s shares to Rabri Devi (85%) and Tejashwi Yadav (15%) on June 13, 2014, effectively making them the sole owners of the land.
According to the ED, AK Infosystems—along with all its assets, which had a book value of ₹1.89 crore—was handed over to Rabri Devi and Tejashwi Yadav for a mere ₹1 lakh. However, the agency’s valuation suggested that the actual market worth of these assets on June 13, 2014, was ₹63 crore.
The ED also claims to have linked Tejashwi Yadav to another company, AB Exports Pvt Ltd (ABEPL), which is reportedly controlled by Lalu Prasad’s family. The charge sheet states that Tejashwi Yadav owns 98.25% of ABEPL, while his sister, Chanda Yadav, holds the remaining 1.75%.
ABEPL allegedly purchased a bungalow—D-1088 in New Friends Colony—in 2007 for ₹5 crore using optionally fully convertible debentures from five shell companies. In March 2023, the ED issued a press statement asserting that the current market value of the property stands at ₹150 crore.
Apart from Lalu Prasad, Rabri Devi, Tejashwi Yadav, and Katyal, the ED’s charge sheets have also named Lalu Yadav’s daughters, Hema Yadav and Misa Bharti, as accused in the case.
The first charge sheet under PMLA was filed in January 2024.
