ED Probes 1,105 Bank Fraud Cases, Attaches ₹64,920 Crore Under PMLA: Sitharaman
Government Details Enforcement Action and Fugitive Economic Offenders Framework in Lok Sabha
New Delhi, March 30: The Enforcement Directorate has investigated 1,105 bank fraud cases under the Prevention of Money Laundering Act and attached proceeds of crime worth ₹64,920 crore, Finance Minister Nirmala Sitharaman informed the Lok Sabha on Monday.Speaking during a discussion on the bill to amend the Insolvency and Bankruptcy Code, Sitharaman outlined the government’s enforcement actions against economic offenders, particularly those attempting to evade legal proceedings by remaining overseas.
Fugitive Economic Offenders Act Targets High-Value Cases
The Finance Minister stated that the Fugitive Economic Offenders Act, 2018 was introduced to deter offenders from avoiding Indian law by staying abroad. The law applies to cases involving ₹100 crore or more.She highlighted that actions under the Act include confiscation of properties, proceeds of crime and benami assets, issuance of lookout notices through the Bureau of Immigration, and restrictions on raising capital or acquiring shares and voting rights.
Arrests, Prosecution and Declarations Under FEOA
Providing further details, Sitharaman said that out of the investigated cases, 150 accused have been arrested and 277 prosecution complaints have been filed.Additionally, eight individuals have been declared Fugitive Economic Offenders under the Act, while three accused have been convicted under the Prevention of Money Laundering Act.
Asset Confiscation and Recovery for Banks
The minister noted that assets worth ₹15,186 crore have been confiscated, of which ₹15,183 crore has been restituted to public sector banks.PMC Bank Fraud Recovery Efforts
Addressing the fraud at PMC Bank, Sitharaman said the bank recovered ₹104 crore with the support of the Enforcement Directorate. She added that assets worth ₹725 crore were confiscated under the provisions of the Fugitive Economic Offenders Act.IBC Amendment Bill Passed
The Lok Sabha later passed the bill to amend the Insolvency and Bankruptcy Code following the discussion.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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