Major Setback from Delhi Court: Charges Framed Against Lalu, Rabri, and Tejashwi in IRCTC Hotel Scam

New Delhi, September 10, 2026 – A special court in Delhi has delivered a significant ruling regarding the irregularities in the allocation of IRCTC railway hotels and the ‘Lara Projects’ money laundering case. The court has ordered the framing of charges under the Prevention of Money Laundering Act (PMLA) against a total of nine accused, including former Railway Minister Lalu Prasad Yadav, his wife Rabri Devi, and former Deputy Chief Minister of Bihar Tejashwi Yadav.
The court observed that there is a prima facie case suggesting the former Railway Minister abused his official position to amass illegal wealth in the name of his family. All the accused have been directed to appear before the court on October 3 for further proceedings.
Trial to Proceed Against 9 Accused
The nine accused against whom charges have been framed are: Lalu Prasad Yadav, Rabri Devi, Tejashwi Yadav, former Union Minister Premchand Gupta, his wife Sarla Gupta, Sujata Hotels directors Vinay Kochhar and Vijay Kochhar, Lara Projects, and Sujata Hotels Private Limited.
Seven accused have been discharged. These include Lalu Prasad Yadav’s son-in-law Rahul Yadav, Gaurav Gupta, Nathmal Kankaria, Vijay Tripathi, Devki Nandan Tulsyan, Rajiv Relan, and Abhishek Finance Private Limited.
What is the Case About?
According to the CBI and the Enforcement Directorate (ED), the irregularities occurred while Lalu Prasad Yadav was the Railway Minister between 2004 and 2009. Contracts for the railway's BNR Heritage Hotels in Ranchi and Puri were allegedly awarded to the company ‘Sujata Hotels’ in violation of established norms. It is alleged that, in exchange, valuable land in Patna worth crores of rupees was transferred at a throwaway price to the company ‘Lara Projects,’ which was linked to the Lalu family. The court noted that the actions of the investigative agencies are not motivated by any political vendetta.