IRCTC Hotel 'Scam': Delhi Court Frames Charges Against Lalu, Rabri And Tejashwi Yadav; Family Alleges Political Vendetta
Recently, the Supreme Court had refused to entertain Lalu Prasad's plea seeking a stay on the proceedings of the trial court in the land-for-job case.
Published : October 13, 2025 at 11:15 AM IST
|Updated : October 13, 2025 at 11:43 AM IST
New Delhi: Ahead of the crucial assembly elections in Bihar, Rashtriya Janata Dal (RJD) President Lalu Prasad Yadav and his family members suffered a jolt, as a Delhi court on Monday framed charges against Lalu, his wife Rabri Devi and son Tejashwi Yadav in a case linked to alleged irregularities in IRCTC.
Pronouncing its decision, the Rouse Avenue Court paved the way for the trial of the accused under Sections 420 (cheating) and 120B (cheating) of the Indian Penal Code (IPC) and the Prevention of Corruption Act.
RJD chief and former Bihar Chief Minister Lalu Prasad Yadav appeared before the court here along with his wife and ex-CM Rabri Devi.
The alleged scam took place between 2004 and 2009, when Lalu Prasad Yadav was the Railway Minister. During his tenure, the Indian Railway Catering and Tourism Corporation (IRCTC) initiated the process of awarding contracts to private companies for operation of BNR hotels in Puri and Ranchi.
According to Central Bureau of Investigation (CBI), there were massive irregularities in awarding the contracts, which allegedly resulted in undue benefits to Sujata Hotels Private Limited.
The investigating agency has alleged a quid pro quo arrangement in the deal. In return for the hotel contracts, land in Patna was allegedly transferred at prices far below the market rate to Delegate Marketing Private Limited, a company linked to the Lalu family.
The CBI's chargesheet includes sections of the Prevention of Corruption Act, criminal conspiracy (Section 120B of the IPC), and fraud, claiming that official positions were misused to facilitate the deal.
However, the family has refuted all the allegations, terming the case as "politically motivated". They have maintained that it is part of a "political conspiracy" aimed at defaming Opposition leaders ahead of the Bihar elections. "This case is nothing but political vendetta," the family has repeatedly said, alleging that central agencies are being misused to weaken the Mahagathbandhan (Grand Alliance).
Lalu Prasad had earlier claimed that there were no irregularities on his part, and said that the tenders were awarded fairly.
Notably, the court had reserved its order in the case on May 29, 2025, after hearing arguments from both sides. However, due to technical reasons, the order was postponed, and October 13 was fixed as the new date for pronouncement. The court had directed all accused to be physically present for the proceedings, following which, Lalu Prasad and his wife arrived in Delhi for the hearing.
Recently, the Supreme Court had refused to entertain Lalu Prasad's plea seeking a stay on the proceedings of the trial court in the land-for-job case.
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