The Enforcement Directorate has summoned former IPL chief Lalit Modi in connection with a money laundering case registered by the agency against him.
The ED case, under the Prevention of Money Laundering Act (PMLA), is based on a criminal case registered by the Chennai Police against Modi in 2013. The agency, which served the summons to Modi through his attorney Mehmood Abdi on Friday, has given him two weeks to appear before it to record his statements.
This is not the first time Modi has been summoned by the ED in connection with IPL investigations. Earlier, he was summoned by the agency under the less stringent Foreign Exchange Management Act (FEMA). In most of the FEMA cases, Modi, currently in the UK, recorded his statements through Abdi.
“This time around, it is mandatory for Modi to appear in person before the ED. If he fails to appear before the agency, we will proceed against him under the law,” a senior ED official said on condition of anonymity.
Under the law, if an individual does not comply with summons issued under PMLA, the ED can move a court to obtain a non-bailable warrant or even a red corner notice against the person, said a lawyer, who did not wish to be named. “There are several other options, but these two are mostly used in case of non-compliance,” he added.
The PMLA case is based on a criminal complaint filed by the BCCI in 2010 accusing Modi of misappropriation of funds to the tune of Rs 470 crore during his tenure as IPL chief. Police had registered a case against Modi and six others under different sections of the IPC.
Last week, former BCCI chief N Srinivasan recorded his statement with the ED in the case.
So far, the ED has investigated 15 other cases of over Rs 2,000 crore involving Modi and others under FEMA.
When contacted, Abdi said, “I have not received any ED summons and neither has Mr Modi.”