Subramaniam Swamy accuses Sonia, Rahul Gandhi of land fraud associated with National Herald, Quami Awaz

The allegations, made at a press conference on Friday, drew a strong denial and threats of legal action from Rahul Gandhi. “The allegations made by you are entirely false, entirely baseless and defamatory…We are committed to taking all legal actions against the scandalous abuse evident in your so-called press conference,” the younger Gandhi’s office said in a statement.

Swamy alleged that the two newspapers, which were owned by a company called Associated Journals Limited, were now defunct but continued to occupy expensive real estate in Delhi and Uttar Pradesh. The Gandhis, he said floated a company called Young Indian, under Section 25 of the Companies Act, and subsequently acquired Associated Journals and its real estate assets. Section 25 deals with non-profit companies.

Congress dismissed Swamy allegations as the actions of a maverick. Janardan Dwivedi, chairperson of the party’s media cell said, “every country and society has some mavericks, the person you are referring to might be one of them..those who can say anything at anytime.” The statement issued by Gandhi’s office asserted that Swamy was abusing the freedom of speech. “We shall pursue all proceedings available in law that an individual like you and an organisation like yours do not abuse the freedom to speak and write in…violation of the equally important need in a civilised society to maintain the dignity of individuals and organizations.”

Swamy questioned the acquisition of Associated Journals by Young Indian: “On February 26, 2011, the Board of AJ Pvt. Ltd. passed a Resolution approving that All India Congress Committee extends an unsecured loan of 90 crore to AJ Company in lieu of nine crore shares valued at 10 each to the shareholders of Young Indian. Sonia Gandhi and Rahul Gandhi own three fourth’s of the shares of Young Indian. Since when has it become legal for a political party to extend a loan,” he asked. Swamy also questioned the propriety and legality of a general body meeting of shareholders being held at 10 Janpath as reported to the RoC.