TMI Blog2018 (7) TMI 1976X X X X Extracts X X X X X X X X Extracts X X X X ..... ion of the vicarious liability clause framed against the noticees under Section 42(1) and (2) - HELD THAT:- As the issue raised in the present writ petition is no longer res integra, as it has been already settled by the Division Bench of the Bombay High Court in Shashank Vyankatesah Manohar v. Union of India and another [ 2013 (8) TMI 435 - BOMBAY HIGH COURT] holding that the definition of 'person' in Section 2(u) of the Foreign Exchange Management Act, 1999 is inclusive one and therefore the BCCI as well as the Governing Council of IPL are the persons within the definition of Section 2(u) of the Act, which judgment has also been confirmed by the Supreme Court, the petitioner, who was the Secretary of BCCI during the relevant peri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... society having 30 members, of whom 25 are State Cricket Associations, 2 are private cricket clubs and 3 are Government bodies and has no individual members. Even right from its inception in the year 1929, the BCCI has promoted the sport of cricket in India, as it is responsible for selecting and sending the team for all bilateral international matches. While so, in the year 2007, the BCCI decided to launch the Indian Premier League, hereinafter referred to as the IPL and a Sub-Committee of BCCI called the Governing Council of the IPL was constituted to manage the IPL. Mr.Lalit Kumar Modi, the then Vice President of BCCI from North Zone was appointed as the first Chairman of the Governing Council and the Governing Council invited tenders o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... .42 to CSA between 31.3.2009 and 27.8.2010 in foreign exchange through the State Bank of Travancore, Jaipur Branch who is the authorised dealer. 3. In relation to the IPL-2 and the aforesaid transaction with the CSA, the Assistant Director, Directorate of Enforcement, Mumbai made a complaint on 16.11.2011 under Section 16(3) of the Foreign Exchange Management Act to the Special Director, Enforcement Directorate, the second respondent herein making inter alia several allegations against the BCCI office bearers and employees including the petitioner herein that without prior approval of RBI, huge amount was transferred to South Africa. On the basis of the complaint, the second respondent issued a show cause notice dated 25.11.2011 i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ility clause framed against the noticees under Section 42(1) and (2) has been justified. 4. Mr.P.R.Raman further submitted that it is well settled that a registered society is not a body corporate. Therefore, the BCCI, a society registered under the Tamil Nadu Societies Registration Act, 1975, can never be considered as a body corporate, for the simple reason that it promotes sports. Moreover, the BCCI is not even an association of individuals, but it is an association of other State level associations. In view thereof, no part of the explanation can include the BCCI as being a company under Section 42 of the Foreign Exchange Management Act. In support of his submissions, he has also heavily relied on the judgments of the Apex Cou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pany or a firm or an association of persons, but it is an association of societies. The said judgment also has been confirmed by the Supreme Court. 6. As the issue raised in the present writ petition is no longer res integra, as it has been already settled by the Division Bench of the Bombay High Court in Writ Petition No.5305 of 2013 dated 7.8.2013 (Shashank Vyankatesah Manohar v. Union of India and another) holding that the definition of 'person' in Section 2(u) of the Foreign Exchange Management Act, 1999 is inclusive one and therefore the BCCI as well as the Governing Council of IPL are the persons within the definition of Section 2(u) of the Act, which judgment has also been confirmed by the Supreme Court, the petitio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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