High-profile cases involving CBI, ED: Trials set to begin without delay in New Year; Restitution of assets in focus

New Delhi: The Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) are set to start trials in some high-profile cases under the Prevention of Corruption Act and Prevention of Money Laundering Act (PMLA).

Although the federal investigative agencies had filed several charge sheets against the accused - most of whom are out on bail - the trials had not been initiated.

Most of these cases are at the stage of Section 207 of the Criminal Procedure Code (CrpC), which requires that the accused be provided with certain documents used by the prosecution to buttress its case against the accused. In one of the high profile cases, CBI has concluded its arguments on framing of charges against former Union railway minister Lalu Prasad and co-accused.

The need to kick-start trials also stems from the recent orders of the Supreme Court which, while granting bail to the accused, has repeatedly underscored the need to commence trials without delay.

Besides completing investigations and starting trials, ED is also focusing on restitution of assets to victims. ET takes a deep dive into the high-profile cases in which agencies will try to commence the trial in 2025.

Land-for-jobs case

CBI has filed charge sheets against former Bihar deputy CM Tejashwi Yadav, his parents Lalu Prasad and Rabri Devi (former chief minister), and others.

In September 2024, the Ministry of Home Affairs (MHA) had accorded sanction to prosecute Prasad. A month later, the sanction to prosecute 30 co-accused was also received from the authorities.

CBI had previously received sanction to prosecute Prasad for his alleged involvement in the alleged scam. The agency had filed two charge sheets, elaborating his alleged role in illegal recruitment of employees in two railway zones - central and western.

But CBI filed its final and composite charge sheet in the case, including all the remaining railway zones. Prasad and other public servants were also charged in the final charge sheet. It is for this final charge sheet that the agency had sought sanction from the authorities in June.

CBI is awaiting sanction to prosecute a former government servant, RK Mahajan, private secretary to Prasad, following which the agency will argue on framing of charges against Prasad, his kin and co-accused.

After CBI, the accused will be given an opportunity to counter the agency's contentions. The counsel of accused will demand discharge, following which the court will take a decision whether to start trial or discharge accused.

ED has attached properties of Prasad's family worth ₹6 crore in connection with the case. The properties attached by the agency include Delhi and Patna properties, including a house in New Friends Colony.

CBI, in its charge sheet, has described Prasad, his wife and son (Tejashwi) as "ultimate beneficiaries". All three have denied the allegations against them.

IRCTC case

This is another alleged scandal in which CBI has filed charge sheets against Prasad, Tejashwi Yadav and Rabri Devi. The agency has already concluded its arguments on framing of charges.

The special CBI court has already made it clear that hearing needs to be "expedited" and "adjournments are to be avoided". The defence is yet to present its counter arguments, following which the court will pronounce its verdict on whether or not to frame charges against the accused. If the court decides to frame charges, it will mean commencement of trial.

The trial hasn't commenced because a co-accused - former government official Vinod Kumar Asthana - had last year obtained a stay from the Supreme Court on framing of charges against him. Asthana has demanded quashing of cognisance of CBI's charge sheet taken by the special court.

He had moved SC after the Delhi High Court dismissed his plea in October 2022, ruling "it would not be feasible to quash the proceedings at such an initial stage". CBI has moved an application for early hearing of its plea seeking to vacate the stay granted in favour of Asthana. The plea is yet to come up for hearing in SC.

The CBI court in July 2018 took cognisance of a charge sheet against Prasad and the other co-accused registered a year earlier for allegedly making illegal gains by tweaking the terms of a tender for IRCTC hotel contracts. CBI had booked Prasad, Rabri Devi, Tejashwi Yadav and others in July 2017 for allegedly making ill-gotten gains by tweaking the terms of tender of IRCTC hotels. As per CBI, Prasad had colluded with the owners of Chanakya and Sujata Hotel in Patna through IRCTC officials and owners of a front company belonging to Prasad and his wife.

Delhi excise policy case

All the accused in the erstwhile excise policy case of Delhi have been released on bail. The case includes senior AAP leaders - former CM Arvind Kejriwal, former deputy CM Manish Sisodia, Sanjay Singh and others.

The case is at the stage of Section 207 of CrPC. After furnishing of documents sought by the accused, CBI will argue on framing of charges.

In a first, in May 2024, the ED filed a charge sheet against AAP as an accused under PMLA. AAP became the first political party to have been accused under anti-money laundering laws. ED invoked Section 70 (1) of PMLA to implead AAP as an accused. It will be significant to observe whether the court decides to charge AAP as an accused and start a trial against it.

SC, while ordering release of the accused in the case, had recorded that the trial had not commenced. Granting bail to Kejriwal on September 13, the top court had slammed CBI. "It is imperative that CBI dispel the notion of it being a caged parrot," justice Ujjal Bhuyan, as part of a bench, had said in his judgment. "In a functional democracy governed by the rule of law, perception matters. Like Caesar's wife, an investigating agency must be above board," he had said. CBI's perception should rather be "that of an uncaged parrot", he said.

VVIP chopper case

CBI is likely to press for deciding its application seeking to segregate the trial. In December 2022, the agency had moved a special court, urging it to segregate the trial of the accused who have been served summons and joined investigation from those (accused) who have till date either not been served upon or have evaded the investigation.

In its application, CBI argued that the accused who joined the probe cannot be denied their "right to speedy trial". The trial has yet to begin nearly 12 years after a probe was launched into alleged irregularities in an air force deal to purchase helicopters for transporting VVIPs. So far, CBI and ED have filed more than a dozen chargesheets in the case.

However, the trial court could not make a decision on CBI's application seeking segregation of trial because CBI moved the Delhi High Court challenging orders passed by the special CBI court permitting a co-accused to inspect documents not relied upon by the agency. The appeal stated that the agency was required to produce only before the court all material collected by it during investigation which it proposes to rely upon.

In July 2024, the CBI had informed the Delhi High Court that it had no difficulty if the accused inspected unrelied documents and statements of witnesses.

The agency's stand had contrasted with its earlier position. The high court disposed of CBI's petition after the agency told it that "only for the purpose of expedience and without going into the merits, the present petition may be disposed of" and the accused "may be allowed to inspect unrelied documents and unrelied statements of witnesses".

This meant the decks were cleared for the CBI to seek commencement of trial. The accused are being supplied documents, following which CBI will press its application for segregation of trial, said people in the know.

Cash-for-jobs case (Bengal)

SC in December directed the trial court to decide on framing of charges before the commencement of winter vacations or before December 31, 2024, whichever is earlier. The alleged cash-for-jobs scandal involves former West Bengal education minister Partha Chatterjee.

SC ordered expediting the trial on a bail plea of Chatterjee. A bench headed by justice Surya Kant ordered that Chatterjee can be released on bail on or before February 1, 2025, in the money laundering case registered against him by ED.

The bench directed the trial court to record the statements of prosecution witnesses who are most material and vulnerable in the second or third week of January 2025. Subject to the completion of these steps, Chatterjee can be released on bail.

ED had also arrested Chatterjee's alleged associate, Arpita Mukherjee, in the case.

Restitution of assets by ED

After taking charge as the new ED director in August 2024, Rahul Navin had made it clear to sleuths that the focus must be on concluding investigations in key cases and initiating trials. The agency has also made significant progress in restitution of assets to victims.

The agency has restored properties worth ₹22,280 crore to the victims or rightful claimants and the fight against economic offenders will continue unabated, finance minister Nirmala Sitharaman had informed the Lok Sabha in the winter session.

ED has recovered assets worth ₹17,750 crore in connection with various cases involving fugitives Vijay Mallya, Nirav Modi and Mehul Choksi. Sitharaman had also informed that ₹14,131.6 crore worth of properties belonging to Mallya have been restored to public sector banks.