FATF recognises India’s Enforcement Directorate in fighting financial crime

The Financial Action Task Force (FATF) has lauded the role of India’s Enforcement Directorate in strengthening the global fight against financial crime.

The FATF, which released its “Asset Recovery Guidance and Best Practices” document cited multiple ED case studies as global models. One highlighted case involved the restoration of Rs 60 billion (USD 690 million) to victims, noted as a benchmark for domestic cooperation and victim restitution. India’s Fugitive Economic Offenders Act, 2018, was also praised as the best practice.

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This recognition underscores India’s growing influence in shaping international standards for asset recovery and financial crime enforcement.

“The contribution of India and the Directorate of Enforcement to this global effort has been substantial and widely acknowledged. Drawing from India’s legal framework under the Prevention of Money Laundering Act, 2002, and its operational experience, ED’s inputs helped shape key aspects of the guidance related to value-based confiscation, provisional attachment, and inter-agency cooperation.

“The Fugitive Economic Offenders Act, 2018 of India is also highlighted as a very good example of the legal doctrine of fugitive disentitlement,” the document stated.

“The FATF guidance specifically refers to many Indian case examples from ED, including a case where ED and a State Crime Investigation Department coordinated to attach assets in a large-scale investment fraud.

“The coordinated effort resulted in the restoration of assets worth ₹60 billion (USD 690 million) to victims, which FATF has highlighted as a model for domestic cooperation and victim restitution,” it added.