Overview

• The Enforcement Directorate issued and then withdrew a June 14 summons to senior advocate Arvind Datar over a legal opinion he gave on employee stock options for former Religare Enterprises chair Rashmi Saluja.
• The Supreme Court Advocates-on-Record Association led the condemnation, labeling the notice an "arbitrary exercise of executive power" that threatens the rule of law.
• Tamil Nadu Senior Advocates Forum, Madras Bar Association and other lawyer bodies echoed concerns that targeting counsel for professional advice compromises the independence of the judiciary.
• The ED’s probe focused on Datar’s view that IRDAI approval was unnecessary since Saluja received ESOPs as a Religare employee rather than as non-executive chair of its insurer arm.
• Critics warn that holding advocates liable for clients’ actions could send a chilling message that deters lawyers from offering fearless legal opinions.