Ordinance to expedite probes against fugitive economic criminals

The promulgation of the Fugitive Economic Offenders Ordinance 2018 will empower the two federal agencies -- Enforcement Directorate and Central Bureau of Investigation (CBI) -- to expedite the process of attaching properties of 31 top businessmen who have fled India after defaulting on their loans and leaving them riddled with scams. It will not only help agencies to lay down measures to deter fugitive economic offenders from evading the process of law, it will also provide expeditious confiscation of proceeds of crime and properties of the offending fugitives.

"It will help us bring the fugitives back in India and face trials," said a senior CBI officer.

Further, there is a provision a special court for speedy trails of such cases. The special court will be constituted under the Prevention of Money Laundering Act (PMLA) 2002 and will have jurisdiction to declare a person as fugitive economic offender once the investigation agency moves an application.

According to the ordinance, a fugitive economic offender is a person against whom an arrest warrant has been issued in respect of a scheduled offence and who has left India to avoid criminal prosecution, or being abroad, refuses to return to India to face criminal prosecution.

Further, the court can order the attachment of the property of the fugitive and proceeds of crime, disentitling the offender from defending any civil claim. Under the provision of the ordinance, the special court will have power to appoint an administrator to manage and dispose the confiscated property under the PMLA act.

Also, if at any point in the course of the proceeding prior to the declaration the fugitive returns to India and submits to the appropriate jurisdictional court, proceedings under the act would cease by law.

"All necessary constitutional safeguards in terms of providing hearing to the person through counsel, allowing him time to file a reply, serving notice of summons to him, whether in India or abroad and appeal to the High Court have been provided for," sources in the government stated.

Some Fugitives

• Vijay Mallya  
• Jatin Mehta  
• Lalit Modi  
• Nirav Modi  
• Mehul Choksi  
• Ritesh Jain  
• Sanjay Bhandari  
• Nitin Jayantilal Sandesara