About:
- It is a specialized financial investigation agency under the Department of Revenue, Ministry of Finance.
- Its Headquarters at New Delhi is headed by the Director of Enforcement.
- Origin- On 1 May 1956, an ‘Enforcement Unit’ was formed, in the Department of Economic Affairs, for handling Exchange Control Laws violations under Foreign Exchange Regulation Act, 1947.
- In the year 1957, this Unit was renamed as ‘Enforcement Directorate’.
- Mandate– It has been given the task of enforcing the provisions of two special fiscal laws
- Foreign Exchange Management Act, 1999 (FEMA).
- The Prevention of Money Laundering Act, 2002 (PMLA).
Functions:
- To collect, develop and disseminate intelligence relating to violations of FEMA, 1999, the intelligence inputs are received from various sources such as Central and State Intelligence agencies, complaints etc.
- To investigate suspected violations of the provisions of the FEMA, 1999 relating to activities such as “hawala” foreign exchange racketeering, non-realization of export proceeds, non-repatriation of foreign exchange and other forms of violations under FEMA, 1999.
- To adjudicate cases of violations of the erstwhile FERA, 1973 and FEMA, 1999.
- To process and recommend cases for preventive detention under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act (COFEPOSA).
- To undertake survey, search, seizure, arrest, prosecution action etc. against offender of PMLA offence.
- To provide and seek mutual legal assistance to/from contracting states in respect of attachment or confiscation of proceeds of crime as well as in respect of transfer of accused persons under PMLA.
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