ED questions Lalu Yadav's son in IRCTC hotel contract scam

New Delhi: The Enforcement Directorate (ED) on Tuesday questioned Tejashwi Yadav, son of RJD chief Lalu Prasad, in connection with alleged corruption in the award of contract for the maintenance of two IRCTC hotels in 2006.

According to sources, the former Bihar deputy chief minister was questioned by the agency sleuths for more than eight hours and his statement was recorded under the relevant provisions of the money laundering act. He may be called again for questioning in connection with the case, they added. 

The ED had taken cognisance of a CBI FIR in this regard to initiate its own criminal complaint. In July, the CBI had registered an FIR and conducted multiple searches at the premises of former Bihar chief minister Lalu Prasad and others. The ED is investigating the alleged “proceeds of crime” generated by the accused, purportedly through shell companies, sources said. 

The case pertains to allegations that Lalu, during his tenure as railway minister in 2006, handed over the maintenance of two hotels run by the Indian Railway Catering and Tourism Corporation (IRCTC), a subsidiary of the Indian Railways, in Ranchi and Puri to Sujata Hotel, a company owned by Vinay and Vijay Kochhar, in return for a prime plot of three acres in Patna. The CBI’s FIR alleged that Lalu Yadav abused his official position for extending undue favours to the Kochhars and acquired a piece of “high value premium land” through the benami firm Delight Marketing Company.

Sources in the ED said some crucial questions about the change of ownership of Delight Marketing company and his knowledge about purchase of land were asked by the ED sleuths from Tejashwi.

The ED had registered a criminal case against the Lalu Prasad family members and others under the provisions of the PMLA.