2024 (12) TMI 1149 - HC - FEMA

Penalty imposed under FEMA - petitioner was appointed as Vice President of the Board of Control for Cricket in India ( BCCI ), and claims to have been appointed Chairman of the IPL governing body, a subcommittee of the BCCI - relief in this case is firstly against the BCCI on the ground that by-laws require the BCCI to indemnify the petitioner. HELD THAT - In Zee Telefilms Ltd. Anr. Vs. Union of India Ors. 2005 (2) TMI 773 - SUPREME COURT as held that the BCCI does not answer the definition of State within the meaning assigned to this term under Article 12 of the Constitution of India. Therefore, this petition and the reliefs sought for it are not maintainable. Though the above decision was delivered in 2005, this petition was instituted in 2018, pleading that the Hon ble Supreme Court and this Court have consistently held that the BCCI is amenable to writ jurisdiction under Article 226 of the Constitution of India. In matters of alleged indemnification of the petitioner in the context of penalties imposed upon the petitioner by the ED, there is no question of discharge of any public function, and therefore, for this purpose, no writ could be issued to the BCCI. In any event, the reliefs are wholly misconceived. The adjudication authority under the FEMA has imposed a penalty of Rs. 10,65,00,000/- upon the petitioner. The petitioner now seeks a writ of mandamus on the BCCI to pay this amount to the Enforcement Directorate (ED). No such mandamus can be issued. This petition is frivolous, and accordingly, we dismiss this petition with costs of Rs. 1,00,000/- payable to Tata Memorial Hospital.

Summary

The petitioner sought a writ of mandamus to direct BCCI to pay a penalty imposed under FEMA, claiming indemnification under BCCI rules. The court dismissed the petition as BCCI is not considered a 'State' under Article 12, and no writ can be issued for such purpose. The petition was deemed frivolous, and the petitioner was ordered to pay costs to Tata Memorial Hospital.