ED summons Lalu Prasad Yadav for land-for-jobs case questioning tomorrow
Team Finance Saathi
18/Mar/2025

What's covered under the Article:
- ED summons Lalu Prasad Yadav for land-for-jobs money laundering case.
- Tej Pratap Yadav and Rabri Devi also asked to appear before ED in Patna.
- CBI filed multiple chargesheets alleging land-for-jobs scam during 2004-2009.
Lalu Prasad Yadav, the Rashtriya Janata Dal (RJD) chief and former Bihar Chief Minister, has been summoned by the Enforcement Directorate (ED) to appear for questioning in connection with the land-for-jobs money laundering case. The 77-year-old leader has been directed to depose before the federal probe agency in Patna on March 19, 2025.
Family Members Also Summoned for Investigation
The ED has also issued summons to Tej Pratap Yadav and Rabri Devi, son and wife of Lalu Prasad Yadav, along with other family members, to appear before the agency on March 18, 2025. Their statements are to be recorded under the Prevention of Money Laundering Act (PMLA) as part of the ongoing investigation. However, reports indicate that Lalu Prasad and his family members are unlikely to appear before the agency as per initial information.
Background of the Land-for-Jobs Case
The Central Bureau of Investigation (CBI) had registered a case on May 18, 2022, against Lalu Prasad Yadav, his wife, two daughters, and unknown public servants and private individuals. The case alleged that during Lalu Prasad Yadav’s tenure as Union Railway Minister (2004-2009), his family members received landed property as pecuniary advantages in return for appointing substitutes in Group ‘D’ positions across different zones of the Indian Railways.
Modus Operandi of the Alleged Scam
The CBI investigation revealed that in lieu of railway job appointments, individuals, primarily from Patna, transferred ownership of their landed properties either through sale or as gifts to Lalu Prasad Yadav’s family members or a private company controlled by them. The appointees, who were residents of Patna, were placed as substitutes in various Zonal Railways in Mumbai, Jabalpur, Kolkata, Jaipur, and Hazipur. The appointments were allegedly made without any advertisement or public notification, raising concerns over the transparency of the recruitment process.
CBI’s Chargesheets and Investigation Details
The CBI had earlier filed its first chargesheet in this case, and on May 29, 2024, the court directed the agency to submit its conclusive chargesheet. However, the delay in filing the chargesheet had drawn the court’s displeasure. Subsequently, on October 4, 2023, the court granted bail to Lalu Prasad Yadav, Bihar’s Deputy Chief Minister Tejashwi Yadav, Rabri Devi, and others linked to the case.
The second chargesheet filed by the CBI named 17 accused, including:
- Lalu Prasad Yadav, then Union Minister of Railways.
- Rabri Devi, wife of Lalu Prasad Yadav.
- Tej Pratap Yadav, son of Lalu Prasad Yadav.
- General Manager (GM) of West Central Railways (WCR) and two Chief Personnel Officers (CPOs) of WCR.
- Private persons and a private company controlled by Lalu Prasad Yadav’s family members.
ED’s Role and Current Investigation Status
Following the CBI’s findings, the Enforcement Directorate (ED) initiated its own investigation under the Prevention of Money Laundering Act (PMLA). The ED’s focus has been on tracing the flow of money and property transactions related to the alleged scam. The summons issued to Lalu Prasad Yadav, Tej Pratap Yadav, and Rabri Devi indicates that the agency is now moving ahead with its money laundering investigation.
Key Allegations in the Land-for-Jobs Scam
- Transfer of Landed Property: It was alleged that the land transferred to Lalu Prasad Yadav’s family members was done in exchange for job appointments in the railways without any public advertisement.
- Private Company Involvement: A private company controlled by Lalu Yadav’s family was allegedly involved in transferring such immovable properties to family members.
- Substitute Appointments in Railways: Appointments were made for substitute positions in different Zonal Railways, bypassing standard procedures.
Searches and Raids Conducted by CBI
As part of its investigation, the CBI conducted multiple searches and raids across Delhi and Bihar to gather evidence in the land-for-jobs case. The agency’s findings formed the basis of its chargesheets, which laid out a detailed account of the alleged irregularities during Lalu Prasad Yadav’s tenure as the Union Railway Minister.
Legal Developments and Court’s Stand
On October 4, 2023, the court granted bail to Lalu Prasad Yadav, Tejashwi Yadav, Rabri Devi, and others, who were accused in the land-for-jobs scam case. The bail was granted after the accused appeared before the court and furnished the required bonds. However, the investigation remains ongoing, with the ED now focusing on the money laundering aspect linked to the case.
Expected Outcome and Future Course of Action
With Lalu Prasad Yadav and his family members summoned for questioning, the ED is expected to:
- Record detailed statements under PMLA.
- Trace and verify the flow of money and assets linked to the alleged scam.
- Evaluate the role of private companies involved in the transfer of immovable properties.
Political Ramifications and Public Perception
The land-for-jobs case has had a significant impact on Bihar politics, with Lalu Prasad Yadav and his family members facing intense scrutiny over the alleged irregularities. The case has further raised questions about political corruption and favoritism in high-profile appointments within public institutions like the Indian Railways.
As the ED proceeds with its investigation, the outcome is likely to have wider political implications for Lalu Prasad Yadav and the Rashtriya Janata Dal (RJD), with the potential to shape the narrative of anti-corruption efforts in India.
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