Back to Jail: Strike 2 for Lalu Prasad in the Fodder Scam Case

Of the six fodder scam cases registered against Lalu Prasad, he has been found guilty in two.

On bail courtesy the Supreme Court, Lalu Prasad Yadav will go back to the Birsa Munda Central Jail after his conviction by a Special CBI Court in Ranchi. 

(Photo: The Quint)

In what comes as a massive setback for the Rashtriya Janata Dal, a special CBI court in Ranchi found its chief, Lalu Prasad Yadav, guilty in the second case pertaining to the Rs 900 crore fodder scam.

He was convicted with 14 others accused in the case. Seven others, including former Chief Minister Jagannath Mishra, were acquitted in the case. The quantum of punishment will be announced on 3 January, Special CBI judge Shivapal Singh ruled.

The case relates to fraudulent withdrawal of Rs 84.5 lakh from Deoghar district treasury.

Immediate Implications

1. Yadav will be immediately arrested and taken to the Birsa Munda Jail.
2. All properties acquired by Lalu Prasad post-1990 will be attached by the Court.
3. Quantum of punishment to be pronounced on 3 January.

Case #2: Deoghar Treasury

The second case pertains to the withdrawal of Rs 84.5 lakh from the Deoghar (the district now falls in Jharkhand) treasury between 1991-1994. Yadav was chief minister at the time. His predecessor, Jagannath Mishra, who was then with the Congress (after a brief stint with NCP, he’s now with Nitish’s JDU), has been acquitted by Justice Shivpal Singh. He was however, found guilty in the first Chaibasa case, and sentenced to five years in jail. He, along with Yadav, was granted bail by the Supreme Court in December 2013.

Of the 22 others accused, 15 have been found guilty and seven have been acquitted.

The CBI had filed the chargesheet in the Deoghar treasury case in October 1997 naming 38 persons. Three of the accused turned approvers, two confessed to their crime and were sentenced in 2006 and 11 died during the trial.

The arguments for the Deoghar case had concluded on 13 December. The sentencing will take place on 3 January 2018.

Here is a look at the other cases of the fodder scam:

Chaibasa Scam

In September 2013, Yadav was pronounced guilty in the Chaibasa case which pertains to the fraudulent withdrawal of Rs 37.7 crore from the Chaibasa treasury by producing fake bills.

The five year-sentence awarded to him led to Yadav’s disqualification from Parliament and he was banned from contesting elections. However, the Supreme Court granted him bail within three months of his conviction.

Doranda Scam

This hearing of the case pertaining to fake withdrawal of Rs 139.39 crore from the Doranda treasury branch in Ranchi is not complete.

The fraud was against an actual allotment of Rs 1.97 crore using 48,45,502 fake vouchers and allotment orders and 2,367 fake supply orders between 1991 to 1995. The case pertains to Doranda treasury.

Dumka Scam

This case relates to misappropriation of Rs 3.76 crore from Dumka treasury against an actual allotment of Rs1.5 lakh with the help of 96 fake vouchers in financial year 1995-96. Hearings of this case also haven’t been complete.

Banka and Bhagalpur Scam

Yadav was charged with fraudulent withdrawal of Rs. 47 lakh from the treasuries at Banka and Bhagalpur districts in Bihar.

Forged and fake bills were drawn by the Animal Husbandry Department in 1995-96 when Prasad was the chief minister.