Lalit Modi Petitions Supreme Court To Order BCCI To Pay ED's FEMA Penalty
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Lalit Modi has approached the Supreme Court, seeking a directive for BCCI to pay a Rs 10.65 crore penalty imposed by the ED. The Bombay HC had previously rejected his petition.
Former Indian Premier League (IPL) head Lalit Modi has approached the Supreme Court, seeking a directive for the BCCI (Board of Control for Cricket in India) to pay a Rs 10.65 crore penalty imposed on him by the ED.
Previously, the Bombay High Court had rejected Lalit Modi's petition, which sought a directive for the BCCI to cover this penalty imposed by the Enforcement Directorate (ED) for alleged violations of the Foreign Exchange Management Act (FEMA) during the 2009 IPL season in South Africa. The court refused his claim that the BCCI's by-laws required them to indemnify him, stating that the requested reliefs were 'wholly misconceived."
Not only was Lalit Modi's writ petition dismissed, but a bench of Justices M.S. Sonak and Jitendra Jain, in their order dated December 19 last year, also directed him to pay costs of Rs 1 lakh within four weeks.
In his special leave petition (SLP) to the Supreme Court, Lalit Modi argued that according to the Rules and Regulations to the Memorandum of Association, the BCCI is obliged to indemnify its office bearers for losses and expenses incurred during their official duties. Citing Rule 34 of the Rules and Regulations of the Memorandum of Association of BCCI, the plea, filed through advocate Vikas Mehta, pointed out that Modi served as Vice President of BCCI from 2005 to 2010 and Chairman of IPL from 2007 to 2010.
The SLP highlighted the 'discriminatory manner" in which the BCCI indemnified Honorary Secretary N. Srinivasan and Treasurer M.P. Pandove against penalties imposed on them. It added that Lalit Modi paid the Rs 1 lakh costs to avoid being seen as non-compliant or in contempt of court, though the payment was made without prejudice to his right to challenge the Bombay High Court's decision.
Shortly after the conclusion of IPL 2010, Lalit Modi was suspended from BCCI following accusations of misconduct, indiscipline, and financial irregularities. The BCCI launched an investigation against him, and a committee found him guilty of these charges, leading to a lifetime ban in 2013.
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