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The Enforcement Directorate is exploring other means to serve summons on former Indian Premier League (IPL) chief Lalit Modi after they were returned by his lawyer. “With investigations under way, Modi’s presence is mandated by law. We are exploring ways to serve the summons, such as communicating by mail and pasting a copy of it at his last known Indian address in Mumbai,” said an official.
The directorate last week served summons on Modi to appear before it through Mehmood Abdi, his counsel. The summons were returned by Abdi stating he was not authorised to receive such notices. The summons were issued in a case registered against Modi for allegedly laundering money. Two weeks after these formalities are completed Modi will be required to return to India, failing which the directorate will move court for a non-bailable warrant and coordinate with authorities in London to implement the court’s orders. Abdi had earlier said in a statement he had not received any such summons. "The ED has Modi's address in the UK. They are required to serve him as per the procedure prescribed in law," Abdi said.
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Earlier investigations by the directorate into alleged violations of the Foreign Exchange Management Act required Modi’s presence in India as well. But since these are not grave violations, it is not an offence to be absent. “However, not honoring summons under the Prevention of Money Laundering Act is an offence that could lead to arrest,” an official said. Sources said Modi's lawyers had accepted the summons on July 3. Abdi has power of attorney dating back to 2005, which makes him the authority for all civil and criminal proceedings against Modi. Abdi was unavailable for comment on a query from Business Standard.
The money laundering charges relate to a Rs 425 crore deal between World Sports Group and Multi Screen Media for television rights of the IPL. The Board of Control for Cricket in India had in 2008 awarded the IPL’s media rights for 10 years to World Sports Group for $918 million. World Sports Group, in turn, entered into a deal with Multi Screen Media to make Sony the official broadcaster. The contract was replaced a year later with a nine-year deal where Multi Screen Media paid $1.63 billion.
The Enforcement Directorate started investigating in 2009 whether payment of Rs 425 crore facilitation fees by MSM Singapore to WSG Mauritius was made illegally in violation of the Foreign Exchange Management Act.
The directorate has increased coordination with authorities in Singapore and Mauritius over the investigation. “Based on email trails, we are in talks with Singapore and Mauritius to establish the extent of gains by Modi,” a source said.
