The Supreme Court has overturned a decision by the Bar Council of India (BCI) that dismissed a complaint alleging professional misconduct by Alok Dhir and Maneesha Dhir, the founding partners of Dhir & Dhir Associates. The court has directed the BCI to reconsider the case and issue a fresh ruling within six months.
A panel of Justices Dipankar Datta and Manmohan found that the BCI’s previous order lacked sufficient reasoning to justify its conclusion. The court emphasized that while an affirming order does not require extensive explanation, it must at least show that the authority applied its mind to the matter. Citing this lapse, the Supreme Court set aside the BCI’s ruling and mandated a thorough re-examination.
The complaint was originally filed by Sailesh Bhansali, who had engaged the Dhirs as legal representatives. He alleged that they breached their fiduciary duty by simultaneously representing Madras Petrochem before the Debts Recovery Tribunal while their asset reconstruction company, Dhir & Dhir ARC (D&D ARC), secretly acquired the firm’s debts. According to Bhansali, the lawyers used privileged financial information to benefit their own interests, creating a severe conflict of interest.
Bhansali’s complaint was initially dismissed by the Bar Council of Delhi in 2015. After an unsuccessful appeal to the BCI in 2024, he took the matter to the Supreme Court, which found procedural deficiencies in the BCI’s handling of the case. The justices criticized the BCI for dismissing the revision petition with only a few lines of reasoning, calling for a more detailed and reasoned judgment.
With the Supreme Court’s directive in place, the BCI must now revisit the complaint, assess the allegations in detail, and issue a reasoned decision within the next six months.
