IRCTC Hotel Scam: Lalu Family Faces Trouble in the Case

The Lalu family has received a major setback ahead of the Bihar Assembly elections. The Rouse Avenue Court in Delhi has made Lalu Prasad Yadav, Rabri Devi, Tejashwi Yadav, and 11 others accused in the IRCTC hotel scam case. The court stated that Lalu Yadav was aware of the conspiracy behind this scam, which greatly benefitted his family. His wife, Rabri Devi, and son, Tejashwi Yadav, were allegedly given land at a very low price.

What is the IRCTC Hotel Scam?

This case dates back to the first term of the UPA government, when Lalu Prasad Yadav was the Railway Minister. During this period, the Indian Railway Catering and Tourism Corporation (IRCTC) initiated the process of giving private companies the contract for the operation and maintenance of the BNR hotels in Puri and Ranchi. The CBI has alleged that there was manipulation in the tender process to ensure that a company named Sujata Hotels Private Limited received the contract. In return, the hotel company allegedly transferred land to a shell company connected to Lalu's family at a price far below market rates.

Land Sale at Significantly Low Price

According to the CBI, land spread over three acres in Patna, worth around ₹94 crore, was sold for just ₹65 lakh, despite its circle rate being ₹32 crore. This land was transferred through a shell company called Digital Marketing Limited. Later, this company was bought by Lara Projects LLP, owned by Rabri Devi and Tejashwi Yadav.

The IRCTC hotel scam case has stirred controversy as it raises serious questions about corruption and misuse of power during Lalu Prasad Yadav's tenure as Railway Minister.