
Patna/Delhi, February 17, 2026: Former Bihar Chief Minister and RJD chief Lalu Prasad Yadav received temporary relief as the Supreme Court deferred hearing on the CBI’s appeal challenging his bail in connection with the Deoghar Treasury scam. The hearing has now been rescheduled for April 22, 2026.
The two-judge bench, comprising Justice M.M. Sundresh and Justice N. Kotishwar Singh, observed that arguments were incomplete and some parties involved had passed away, prompting the adjournment. Lalu, who has been granted bail on health grounds, can now celebrate Holi without immediate legal uncertainty.
CBI Challenges Bail Granted by Jharkhand High Court
The Central Bureau of Investigation had filed the petition in the Supreme Court seeking suspension of the sentence granted by the Jharkhand High Court in connection with the Deoghar Treasury fodder scam. During the hearing, CBI counsel argued that the accused were illegally out on bail despite having been convicted. Senior advocate Kapil Sibal, representing Lalu Prasad, contended that some parties had not been served notices. The bench remarked on the age of the accused, some in their 60s, 70s, and 80s, and noted that files had been pending for long. The court decided to give a new hearing date in April and close cases where the accused had passed away.
Background of the Deoghar Fodder Scam Case
Lalu Prasad Yadav was convicted in 2017 by a special CBI court for the embezzlement of ₹89 lakh from the Deoghar district treasury between 1990 and 1994, during which he was overseeing the Animal Husbandry department. He was sentenced to three and a half years in jail, although the maximum sentence could have been seven years. The scam involved misappropriation of funds allocated for medicines and hospital supplies, with allegations of fake receipts being used to siphon off money.
Multiple Fodder Scam Convictions
Apart from the Deoghar case, Lalu has been convicted in four other fodder scam cases, including illegal withdrawals from Chaibasa and Dumka treasuries and the Doranda case. All convictions form part of a larger pattern of embezzlement in the fodder scam cases. He has been granted bail on health grounds while the appeals process continues.
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