In a significant development, the Enforcement Directorate (ED) has officially withdrawn the summons issued to Senior Advocate Pratap Venugopal. The summons was related to the legal advice Venugopal had given to M/s Care Health Insurance regarding ESOPs extended to Dr. Rashmi Saluja, the former chairperson of Religare Enterprises.
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The summons, originally issued on June 18, had directed Senior Advocate Venugopal to appear before the agency on June 24. The legal advice in question concerned the employee stock ownership plans (ESOPs) provided to Dr. Saluja. Notably, this isn't the first instance—ED had earlier issued a similar summons to Senior Advocate Arvind Datar, which was also later withdrawn.
The matter took a serious turn when the Supreme Court Advocates-on-Record Association (SCAORA) intervened by writing a formal letter to the Chief Justice of India. The letter strongly criticized ED's actions and urged the Chief Justice to take suo motu cognizance of the situation.
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"The issuance of summons to a senior legal professional for rendering an opinion in good faith poses a serious threat to the independence of the legal profession and to the foundational principle of lawyer-client privilege," the letter stated.
The Association requested the following actions from the Chief Justice:
- Examination of the legality and propriety of such summons issued to legal professionals solely for opinions provided in good faith.
- Issuance of clear guidelines to prevent any further violation of lawyer-client confidentiality and to safeguard the independence of legal professionals.
Responding to this strong reaction from the legal community, the ED’s Assistant Director based in Mumbai promptly withdrew the summons issued to Advocate Venugopal.
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"The subject summons has been withdrawn with immediate effect," stated the communication from ED.
This move by the ED comes amid growing concerns about the boundaries of investigative authority and the sanctity of professional legal consultations. The withdrawal is being seen as a necessary step to uphold the core values of legal practice, including confidentiality and professional independence.
Related Article: SCAORA Urges CJI to Take Suo Motu Cognizance of ED Summons to Senior Advocate Pratap Venugopal