New Delhi: In a significant legal development with potential ramifications for investigative agencies, the Supreme Court has issued an interim order restricting the Enforcement Directorate (ED) from accessing and copying data from electronic devices seized during recent searches related to businessman Santiago Martin, widely known as the “lottery king.”
The order, delivered on December 13 by a bench comprising Justices Abhay S. Oka and Pankaj Mithal, pertains to devices confiscated in November from Martin, his relatives, and employees across 22 locations in six states.
The searches were initiated following a complaint filed by the Meghalaya Police alleging that Martin’s company, Future Gaming and Hotel Services Private Limited, had illicitly monopolised the lottery business in the state. During these searches, the ED reportedly seized Rs 12.41 crore in cash, according to The Indian Express.
Future Gaming petition
The Supreme Court’s intervention comes in response to a petition filed by Future Gaming seeking protection of fundamental rights, particularly the right to privacy. The petition argues that the information stored on personal digital devices is highly personal and intimate, necessitating safeguards against unrestricted access. The court has explicitly directed the ED “not to access and copy” the content of mobile phones belonging to Santiago Martin and a range of electronic devices belonging to his company’s employees.
Furthermore, the court has stayed summons issued by the ED under the Prevention of Money Laundering Act (PMLA) insofar as they require individuals to be present for the purpose of extracting data from these digital devices.
The case involving Future Gaming has been clubbed with other similar petitions, including those filed by employees of Amazon India challenging ED demands for their electronic devices and the Newsclick case, where petitioners are seeking Supreme Court guidelines on the seizure of digital devices by the Delhi Police in 2023. The Indian Express noted that these consolidated cases raise critical questions regarding the procedures for seizing and accessing personal electronic data during investigations.
Santiago Martin’s Future Gaming gained prominence recently as the single largest purchaser of now-defunct electoral bonds, having acquired bonds worth Rs 1,368 crore between 2019 and 2024. Data released by the Election Commission revealed the beneficiaries of these donations. The Trinamool Congress was the largest recipient at Rs 542 crore, followed closely by the Dravida Munnetra Kazhagam (DMK) at Rs 503 crore. Other significant recipients included the YSR Congress (Rs 154 crore) and the Bharatiya Janata Party (BJP) (Rs 100 crore). NDTV further reported that nearly 37% of Future Gaming’s bond purchases went to the DMK.
‘Sensitive nature of information’
Senior ED officials, speaking to Indian Express on condition of anonymity, described the Supreme Court’s restraining order as “unprecedented.” However, they maintained that it would not pose a significant setback to their investigation, asserting that they possess “other significant material evidence” against Martin.
The officials emphasised that their search and seizure procedures adhere to the guidelines outlined in the CBI Manual on Search and Seizure of Digital Evidence. The ED also pointed out the recent attachment of properties linked to the Future Gaming group, valued at Rs 622 crore, as reported by Indian Express.
Rohini Musa, the lawyer representing Future Gaming, told Indian Express that the Supreme Court’s order could establish an important precedent for ongoing and future cases involving the seizure of electronic devices. She emphasised the indefinite nature of the restraint, noting that the court had not set a date for its lifting. Musa argued that the order is crucial to prevent the ED from conducting “fishing expeditions” and potentially compelling the petitioner to self-incriminate through the data extracted from the devices. The petition itself, as detailed by Indian Express, highlights the absence of clearly defined procedures for such broad seizures and access, raising concerns about potential abuse.
The petition further elaborates on the sensitive nature of information stored on mobile phones, including financial records, medical details, and passwords, alongside business-related data and strategic documents. Lawyers for the company, including former Attorney General Mukul Rohatgi, also informed the Supreme Court that Future Gaming has paid Goods and Services Tax (GST) amounting to Rs 28,205 crore in connection with its lottery business.
The case is scheduled to be heard further on February 17, alongside the other connected petitions, potentially leading to landmark rulings on the protocols for digital device seizure in India.
