India Earns Global Praise for Anti–Money Laundering Efforts; FATF Calls ED a ‘Model for the World’
New Delhi (The Uttam Hindu): India’s strong actions against money laundering have received major international recognition. The Financial Action Task Force (FATF), in its latest report, described the Enforcement Directorate (ED) as an “impressive model” for the world.
The report praised India’s legal framework and anti–money laundering system, calling them robust, credible, and a global benchmark for asset seizure and rehabilitation.
340-Page FATF Report Applauds India
Headquartered in Paris, FATF sets global standards to prevent money laundering and terror financing. In its detailed 340-page report, the agency made special mention of India’s legal mechanisms and the ED’s effective operations.
The FATF highlighted that India has taken effective steps to confiscate illicit assets and redirect them for public benefit. The report noted that India’s examples serve as an inspiration for other countries.
Key Cases Highlighted by FATF
The FATF cited several successful ED actions, including:
- Returning assets to victims of the Rose Valley Ponzi scam.
- Seizing ₹130 crore worth of Bitcoin in a US-linked drug trafficking case.
- Recovering ₹6,000 crore in assets in coordination with the Andhra Pradesh Police CID during an investment fraud probe.
The FATF commended the ED for its speed, transparency, and efficiency in these cases.
Seized Land Repurposed for Public Use
One of the standout cases mentioned was related to a cooperative bank scam in Maharashtra, where the ED confiscated benami properties worth ₹280 crore. The FATF termed it a “model of socially beneficial asset seizure”, as the seized land was later allocated for the construction of a new airport, directly benefiting the public.
PMLA Also Recognized Internationally
The report further lauded India’s Prevention of Money Laundering Act (PMLA) and the ED’s operational framework, noting their significant contribution in shaping global anti–money laundering standards.
In response, the ED issued a statement expressing pride that India’s contribution has been “widely appreciated by the FATF and recognized as a world-class example.”