New Delhi: One of Indian politics’ most notorious corruption sagas, the IRCTC hotel scam, has taken a sharp twist as Delhi’s Rouse Avenue Court formally framed charges against former Railway Minister Lalu Prasad Yadav, his wife and ex-Bihar Chief Minister Rabri Devi, son and RJD leader Tejashwi Yadav, and several associates.
This development revives a probe into alleged misuse of power during Lalu’s 2004-2009 tenure, spotlighting dodgy tenders for two IRCTC hotels in Ranchi and Puri. But what exactly is this scandal, and how much money is at stake?
At its core, the IRCTC scam revolves around leasing two heritage BNR hotels — one in Ranchi and the other in Puri — to the Indian Railway Catering and Tourism Corporation for operations and upkeep. What seemed routine turned rotten when the CBI uncovered manipulations in the bidding process. A private firm, Sujata Hotels Private Limited, owned by brothers Vinay and Vijay Kochar, was allegedly handed the contracts through rigged bids, courtesy of political pull during Lalu’s railway reign.
The quid pro quo? A whopping three acres of prime Patna land, valued at around Rs 94 crore per circle rate, was transferred to the Lalu family for a paltry Rs 65 lakh via a shell company, Digital Marketing Limited. This plot later landed with Rabri Devi and Tejashwi Yadav’s Lara Projects LLP. CBI labels it a blatant bribe, prioritising personal gain over public interest in a deal that reeks of conspiracy and cheating.
The court has invoked IPC Sections 420 (cheating) and 120B (criminal conspiracy) against Rabri and Tejashwi, alongside other counts for the group. As the trial approaches, this case, involving a land deal worth Rs 94 crore, has the potential to reverberate throughout Bihar’s political landscape, challenging the Lalu legacy in the face of intensifying scrutiny.