SC advocates slam ED notice to senior lawyer in Religare ESOP case
Senior advocate Arvind Datar was issued a summons by ED questioning him over a legal opinion given in defence of the ESOPs issued to Saluja. The SC advocates have called the ED’s move "coercive and unwarranted".
Supreme Court (SC) advocates have expressed strong opposition to the Enforcement Directorate’s (ED) now-withdrawn notice issued to a senior advocate in connection with the Religare ESOPs case, calling it an “executive overreach”.
The matter stems from a public dispute between Religare’s existing management and the Burman family, promoter of Dabur India and other entities such as Eveready Industries.
Senior advocate Arvind Datar was issued a summons by the ED questioning him over a legal opinion given in defence of the ESOPs issued to Saluja. The SC advocates have called the ED’s move "coercive and unwarranted".
Lodging a strong protest against the ED notice, the advocates remarked that summoning a senior lawyer for discharging their professional responsibility is a misuse of authority.
The ED notice reflects a disturbing trend of executive overreach that threatens the legal profession and the rule of law, the advocates said. Coercive measures by investigating agencies against lawyers affect judicial independence, they added.
Burman family, through its entities, in September 2023, announced a ₹2,116-crore open offer to Religare shareholders to acquire up to 26% stake in the company.
Soon after the open offer bid, Burmans complained to the capital market regulator Sebi for violation of insider trading rules by the Religare chairperson, Rashmi Saluja and the appointment of a board of her choice.
In February this year, following a shareholder vote at Religare’s 40th annual general meeting, Rashmi Saluja ceased to be the Executive Chairperson and Director of the company.
Also read: Exclusive | Rashmi Saluja refutes ESOP misuse claims, questions timing of allegations in Religare dispute
The matter stems from a public dispute between Religare’s existing management and the Burman family, promoter of Dabur India and other entities such as Eveready Industries.
Both sides have alleged serious breaches of corporate governance against each other. In September 2024, an FIR for cheating and criminal conspiracy was filed by the ED against Religare's Rashmi Saluja and others with the Mumbai police.
Senior advocate Arvind Datar was issued a summons by the ED questioning him over a legal opinion given in defence of the ESOPs issued to Saluja. The SC advocates have called the ED’s move "coercive and unwarranted".
Lodging a strong protest against the ED notice, the advocates remarked that summoning a senior lawyer for discharging their professional responsibility is a misuse of authority.
The ED notice reflects a disturbing trend of executive overreach that threatens the legal profession and the rule of law, the advocates said. Coercive measures by investigating agencies against lawyers affect judicial independence, they added.
Burman family, through its entities, in September 2023, announced a ₹2,116-crore open offer to Religare shareholders to acquire up to 26% stake in the company.
Soon after the open offer bid, Burmans complained to the capital market regulator Sebi for violation of insider trading rules by the Religare chairperson, Rashmi Saluja and the appointment of a board of her choice.
In February this year, following a shareholder vote at Religare’s 40th annual general meeting, Rashmi Saluja ceased to be the Executive Chairperson and Director of the company.
Also read: Exclusive | Rashmi Saluja refutes ESOP misuse claims, questions timing of allegations in Religare dispute
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