Enforcement Directorate seeks dismissal of Sun TV's petition

Highlights Supreme Court orders restricting any other courts from interfering in the related disputes

The Directorate of Enforcement has sought the Madras High Court to dismiss the writ petition filed by Sun TV Network Ltd (Sun TV) and Kal Comm Pvt Ltd, taking the blanket orders from the Supreme Court restricting interference of any other court except the Apex Court in the related issues, into account. The Court, letting the matter be in the cause list, left it without any decision.

The Directorate has filed its counter affidavit on the Writ Petitions filed by both the companies earlier this week, seeking to quash the order issued by the Directorate attaching the company's property in a case related to the Maxis-Aircel deal.

The Directorate, in its counter affidavit, said that the Supreme Court has been continuously monitoring all the cases arising out of 2G Spectrum Scam ever since from December 16, 2010 and during the monitoring by the Supreme Court, the matter of Aircel-Maxis deal also surfaced. Subsequently, the Apex Court has made further directions with regard to non-interference by any other Court except Supreme Court with regard to investigation of any case arising out of 2G Spectrum Scam.

It added that any grievance of any aggrieved person on the order under the Prevention of Money Laundering Act, 2002, can be redressed with the parameters and forwards of the Act itself. It could approach an adjudicating authority, which is an independent body constituted to afford opportunity of being heard to the aggrieved person. While the statutory jurisdiction is available, an extraordinary jurisdiction cannot be invoked by approaching the High Court.

The counter also stated that a blanket order dated February 10, 2011 and April 11, 2011, passed by the Supreme Court is on record which restricts the Court, in this case the Madras High Court, from entertaining any such Writ Petitio and further directed that the appropriate remedy arising out of these matters, it is the Supreme Court which will be the sole judicial forum for deciding such matters.

While senior counsel P S Raman, former advocate general of Tamil Nadu, argued that the matter could be heard in the Court and that the company is not an accused in the case pending with the Supreme Court, G Rajagopalan, additional solicitor general of India in the Madras High Court, argued that the Writ Petition cannot be restrained and the company can approach the Supreme Court for remedy.

Earlier this week, Sun TV argued that the company is not an accused in the case pending with the Supreme Court. Senior counsel and former Union Minister Kapil Sibal along with senior counsel P S Raman, former advocate general of Tamil Nadu, have appeared for Sun TV and Kal Comm Pvt Ltd, companies promoted by media tycoon Kalanithi Maran. "We are not meeting an investigation," said Sibal at the Court.

Raman argued that the Directorate had attached the properties without identifying the properties. While the attachment is for an alleged illegal gratification of Rs 742 crore, the current market value of the properties in MRC Nagar and Boat Club Road, attached by the Directorate is estimated to be over Rs 1,000 crore.

The company has also given an undertaking that it will not do anything with the property till the dispute is over.

Enforcement Directorate, through an order dated March 31, 2015, said that the properties and shares of the Maran brothers (Kalanithi and former Union Telecom Minister Dayanidhi Maran) and Kaveri Kalanithi (wife of Kalanithi) were attached by the Directorate in respect of the offence of money laundering relating to the illegal gratification amounting to Rs 742.58 crore received by Dayanidhi Maran.