ED registers money laundering case against Lalu Prasad, family

NEW DELHI: In a fresh bout of trouble for Lalu Prasad and his family, the Enforcement Directorate (ED) on Thursday registered a money laundering case against him and his family members in an alleged railway hotel allotment case.

Lalu was then a railway minister during the UPA tenure. The case is a fallout of an FIR registered by the CBI earlier this month. A case under the Prevention of Money Laundering Act (PMLA) has been registered against Lalu, his family members and others on charges of irregularities. The proceeds of crime generated by the accused through shell companies will be investigated, ED officials said.

As per available information, ED is likely to attach properties of Lalu and his family members. Lalu and his family is also facing another investigation by the income tax sleuths for alleged land deals running into Rs 1,000 crore besides tax evasion.

On July 7, CBI sleuths had raided premises of Lalu and his family members. The case was registered by CBI against Lalu, his wife Rabri Devi, former Bihar deputy CM and his son Tejashwi Yadav, the then IRCTC Managing Director PK Goyal, his wife and others. The case pertained to allegations of irregularities in the tender for development, maintenance and operation of BNR Hotels in Ranchi and Puri, awarded to private Sujata Hotels in 2006. In the FIR, the agency had alleged that Lalu and his family had received a plot of land in Patna in return for awarding tenders to the company run by two businessmen. Lalu and his son had, however, denied the charges against them alleging it to be a political vendetta.