The Enforcement Directorate (ED) is a multi-disciplinary organization mandated with investigating offences related to money laundering and violations of foreign exchange laws. It operates under the Department of Revenue within the Ministry of Finance, Government of India12.
Here are the key functions and responsibilities of the Enforcement Directorate:
- Prevention of Money Laundering Act, 2002 (PMLA):
- The PMLA is a criminal law enacted to prevent money laundering.
- ED’s role includes:
- Conducting investigations to trace assets derived from proceeds of crime.
- Provisionally attaching properties linked to money laundering.
- Ensuring prosecution of offenders and confiscation of their property by the Special Court.
- Foreign Exchange Management Act, 1999 (FEMA):
- FEMA is a civil law that consolidates and amends laws related to external trade, payments, and foreign exchange markets in India.
- ED investigates suspected contraventions of foreign exchange laws and regulations.
- It adjudicates and imposes penalties on those found to have violated the law.
- Fugitive Economic Offenders Act, 2018 (FEOA):
- The FEOA aims to deter economic offenders from evading Indian law by remaining outside the jurisdiction of Indian courts.
- ED is mandated to:
- Attach properties of fugitive economic offenders who have escaped from India.
- Provide for the confiscation of their properties to the Central Government.
The Enforcement Directorate focuses on investigating and prosecuting cases related to money laundering, foreign exchange violations, corruption, and other economic offenses. Its primary objective is to curb the generation and circulation of black money and ensure compliance with relevant laws3.
Disclaimer: This information is based on available sources and does not constitute legal advice.
References:
- Directorate of Enforcement
- BYJU’S: Enforcement Directorate (ED) – Functions
- Drishti IAS: Directorate of Enforcement (ED)
- Wikipedia: Enforcement Directorate