Supreme Court Dismisses Lalit Modi's Plea; BCCI Not Responsible for ₹10.65 Crore Fine

The Supreme Court on Monday dismissed a petition filed by former IPL chairman Lalit Modi, which sought to restrain the Board of Control for Cricket in India (BCCI) from paying a fine of ₹10.65 crore imposed on him by the Enforcement Directorate (ED) under the Foreign Exchange Management Act (FEMA).

The case was heard by a bench comprising Justices P.S. Narasimha and R. Mahadevan. In its order, the court ruled that the BCCI is not a 'State' under Article 12 of the Constitution of India, and hence, the writ jurisdiction under Article 226 does not apply to it. The court, however, clarified that Lalit Modi is free to explore other remedies under civil law.

This is not the first legal setback for Modi in this matter. Earlier, he had filed a similar petition in the Bombay High Court, which was dismissed in December 2023. The High Court not only rejected his plea but also imposed a ₹1 lakh fine, directing it to be donated to Tata Memorial Hospital. The court had termed Modi's petition as "frivolous and legally incorrect."

In his argument, Lalit Modi contended that since he was then serving as the vice-president of BCCI and chairman of the IPL governing council, the BCCI should be responsible for paying the penalty levied by the ED. However, the courts have consistently ruled that the fine under FEMA is personal in nature, and the BCCI bears no responsibility for Modi’s individual violations.

This verdict reinforces the legal stance that sports bodies like the BCCI, while influential, do not fall under the definition of ‘State’ as per constitutional provisions, limiting the applicability of public law remedies against them.