Lalit Modi acquitted in IPL foreign remittance case: Details
What's the story
Lalit Modi, the former chairman of the Indian Premier League (IPL), has been acquitted by the Appellate Tribunal under SAFEMA. The tribunal overturned penalties imposed on him, rejecting the Enforcement Directorate's main argument that foreign remittances were capital account transactions. The verdict comes after over 16 years of investigations and litigation surrounding the matter.
Verdict details
'End of significant legal matter'
The tribunal ruled that the main remittances related to IPL 2009 were current account transactions.
It also found that Modi was not responsible for BCCI's statutory FEMA compliance or given financial authority as alleged by the Enforcement Directorate.
Reacting to the verdict, Modi said, "This marks the end of what has been the single most significant legal matter arising from the 2009 South Africa IPL."
Looking ahead
My focus remains firmly on the future: Modi
Modi emphasized his full cooperation with the legal process throughout these proceedings.
He said, "Throughout these proceedings, I have cooperated with the legal process and remained confident that the facts and the law would ultimately prevail."
Going forward, he said his focus had shifted beyond this case. "My focus remains firmly on the future. I will continue pursuing opportunities in global sport, business, and philanthropy while leaving this chapter behind with dignity and gratitude."
ED's stance
Tribunal's verdict on BCCI
The Tribunal upheld the ED's findings on two limited issues.
It upheld a penalty of ₹4 crore on BCCI for remitting an amount higher than what was reflected in its books of accounts.
It also agreed that there was a delay in bringing ticket sale money back to India but reduced BCCI's penalty on this issue from ₹4 crore to ₹1 crore, noting that the money was eventually repatriated.