Punjab and Haryana HC discharges ex-Haryana CM and Sonia Gandhi-linked company, calls CBI’s action “absolutely illegal” and prosecution an abuse of process
CHANDIGARH: In a major relief to former Haryana Chief Minister Bhupinder Singh Hooda and Associated Journals Limited (AJL)— the company associated with Congress leaders Sonia Gandhi and Rahul Gandhi — the Punjab and Haryana High Court has quashed all criminal charges and discharged them in a high-profile case involving alleged irregularities in the re-allotment of an institutional plot in Panchkula.
The bench of Justice Tribhuvan Dahiya, in a detailed judgment delivered today set aside the trial court’s orders dated April 16, 2021, which had framed charges against them under various sections of the Indian Penal Code (IPC) and Prevention of Corruption Act (PC Act), dismissed their discharge applications, and terminated all subsequent proceedings.
The case originated from a CBI FIR alleging that the re-allotment of the plot (originally allotted to AJL in 1982 for National Herald newspaper operations) was illegal, in violation of rules under the 1977 Act, and caused wrongful gain to AJL at the expense of the Haryana government and HUDA (Haryana Urban Development Authority). The CBI claimed criminal conspiracy, cheating, and abuse of official position by Hooda, who was then Chief Minister and HUDA chairman.
The High Court rejected these allegations outright, observing key facts:
-The allotment remains valid to this day and has neither been cancelled nor declared illegal or arbitrary by any authority.
– AJL paid the demanded re-allotment price and extension fee in full, completed construction on the plot, and received an occupation certificate from the authority on August 14, 2014.
– No grievance has been raised by HUDA or the state government regarding any financial loss, nor has any recovery been demanded from AJL or others.
– Government auditors dropped objections related to any alleged loss from the re-allotment.
– Hooda’s decision as Chief Minister was never challenged by the state or HUDA itself.
The bench strongly criticized the CBI for unilaterally deeming the re-allotment unlawful and registering the case “on its own,” describing the move as “absolutely illegal, and far from any procedure known to law.”
The court found no evidence of any dishonest collusion between Hooda and AJL to restore the plot at original rates. It dismissed claims of financial loss based on hypothetical higher revenue at current rates as “fictional” and lacking factual basis, insufficient to sustain criminal charges.
“The continuation of prosecution will be an abuse of the process of Court,” Justice Dahiya held, while quoting: “Ignoring these vital facts of the matter, the CBI has taken upon itself to term the re-allotment illegal… This is absolutely illegal, and far from any procedure known to law.”
The ruling brings closure to this particular criminal proceeding for Hooda, who is also Leader of Opposition in Haryana and AJL, reinforcing that criminal liability requires concrete evidence of illegality, dishonesty, or actual loss — none of which was established here.
