Bombay High Court Slams Lalit Modi with Costly Verdict

The Bombay High Court has dismissed Lalit Modi's petition against the BCCI, imposing a Rs 1 lakh penalty for a frivolous case. Modi sought indemnification for a Rs 10.65 crore fine from the ED linked to FEMA violations. The court emphasized the BCCI's non-state status, dismissing the petition.

The Bombay High Court has firmly dismissed a petition filed by former cricket administrator Lalit Modi, demanding that the Board of Control for Cricket in India (BCCI) pay a Rs 10.65 crore penalty imposed on him by the Enforcement Directorate for Foreign Exchange Management Act (FEMA) violations. The court also slapped a Rs 1 lakh cost onto Modi.

The division bench, comprising Justices M S Sonak and Jitendra Jain, described the petition as both 'frivolous and wholly misconceived', declaring that the penalty was rightfully imposed by the FEMA adjudication authority. Modi had claimed that the BCCI was obligated to indemnify him for this sum.

However, the bench pointed to a 2005 Supreme Court ruling indicating that the BCCI does not qualify as a 'State' under Article 12 of the Indian Constitution. They concluded that Modi's request for indemnification did not involve any public function, thereby nullifying the plea for a writ against the BCCI. Modi has now been directed to pay Rs 1 lakh to Tata Memorial Hospital within four weeks.

(With inputs from agencies.)