ENFORCEMENT DIRECTORATE - GOVERNANCE

News: SC tells government that challenge before it to ED Director’s ‘piecemeal’ tenure extensions is not about ‘politics’

 

What's in the news?

       The Supreme Court reacted sharply that it is not concerned with politics when the government claimed that the opposition to the “piecemeal” tenure extensions granted to Enforcement Directorate Director S.K. Mishra is by representatives of political parties who are trying to subvert ongoing investigations against their leaders.

 

Enforcement Directorate:

       It is responsible for enforcing economic laws and fighting economic crime in India.

       In 1956, Enforcement Directorate was founded as the "Enforcement Unit" within the Department of Economic Affairs under the Ministry of Finance.

       In 1957, it was renamed as "Enforcement Directorate".

       Its headquarter is in Delhi and branches in Mumbai, Kolkata and Chennai.

 

Cases dealt by ED:

The Enforcement Directorate investigate cases related to

       Economic crimes.

       Violations of foreign exchange laws.

       It originally dealt with Exchange Control Laws violations under Foreign Exchange Regulation Act, 1947 (FERA).

 

At present Enforcement Directorate deals with 4 laws:

  1. The Prevention of Money Laundering Act, 2002 (PMLA)
  2. The Foreign Exchange Management Act, 1999 (FEMA)
  3. The Fugitive Economic Offenders Act, 2018 (FEOA)
  4. Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (COFEPOSA)

 

Control:

       It is part of the Department of Revenue, Ministry of Finance.

       The prime objective of the Enforcement Directorate is to enforce the provisions of Foreign Exchange Management Act, 1999 (FEMA) and Prevention of Money Laundering Act, 2002 (PMLA).