SC takes suo motu cognizance of investigating agencies summoning lawyers representing clients

In a significant move aimed at protecting the independence of the legal profession, the Supreme Court has taken suo motu cognisance of the practice of investigating agencies summoning advocates who render legal advice or represent accused persons in ongoing investigations.

The case, titled ‘In Re: Summoning Advocates who give Legal Opinion or Represent Parties During Investigation of Cases and Related Issues’, is set to be heard on July 14 – the day top court reopens after its seven-week long summer recess – by a bench headed by Chief Justice BR Gavai and comprising Justices K Vinod Chandran and NV Anjaria.

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The action comes in the wake of the Enforcement Directorate (ED) recently issuing summons to Senior Advocates Arvind Datar and Pratap Venugopal in connection with its probe into the grant of over 22.7 million Employee Stock Option Plans (ESOPs) —valued at more than Rs 250 crore—by Care Health Insurance to former Religare Enterprises chairperson Rashmi Saluja.

Datar had given a legal opinion favouring the ESOP issuance, while Venugopal was the Advocate-on-Record in the matter. The ED’s move to summon the two senior lawyers drew sharp criticism from several Bar associations across the country, which condemned it as an attempt to intimidate members of the legal fraternity discharging their professional duties.

Following the backlash, the ED withdrew the summons and issued an internal directive barring field offices from summoning advocates in contravention of Section 132 of the Income Tax Act. The agency clarified that any exception to this must receive prior approval from the Director of Enforcement.

The suo motu initiation by the Supreme Court signals judicial concern over the chilling effect such actions could have on legal representation, and the implications they carry for the broader principles of access to justice and client confidentiality.