PMLA Amendments

December 1, 2022

In its recent amendment, the Central Government listed 15 government bodies that are required to share information with the Enforcement Directorate under the Prevention of Money Laundering Act (PMLA). The list was amended in accordance with Section 66 of the PMLA.

Which are the agencies that were recently included in the list?

The government entities that were recently included to share information with the Enforcement Directorate are:

National Investigating Agency (NIA)
Serious Fraud Investigation Office (SFIO)
State Police
Director General of Foreign Trade (DGFT)
Ministry of External Affairs (MEA)
National Intelligence Grid
Central Vigilance Commission (CVC)
Defence Intelligence Agency
National Technical Research Organisation (NTRO)
Military Intelligence
Wildlife Crime Control Bureau
Competition Commission of India (CCI)

Under Section 66 of the Act, 15 entities are bound to disclose and share case information to the ED if the investigation falls under its jurisdiction. The information shared can be used by the Enforcement Directorate to file a case under the PMLA when it deems fit.

Before this notification, only the Director (Financial Intelligence Unit, India, under the Union Finance Ministry;s Revenue Department), Cabinet Secretariat (RAW), National Security Council Secretariat, Intelligence Bureau, Economic Offences Wing of Central Bureau of Investigation (CBI), Chief Secretaries of State governments, RBI, Department of Company Affairs, and SEBI were required to share information with the Enforcement Directorate.

The Special Investigation Team (SIT) set up by the Finance Ministry and inquiry appointed under the Civil Services Rules or Public Services Inquiry Act or any other preliminary enquiry appointed with the approval of Central Vigilance Commission are also included in this list.

What is Enforcement Directorate?

The Enforcement Directorate (ED), which comes under the aegis of the Finance Ministry’s Revenue Department, is an economic intelligence agency responsible for combating economic crimes in India and enforcing economic laws. Its origins can be traced back to the Enforcement Unit, which was set up under the Foreign Exchange Regulation Act, 1947 to combat violations of Exchange Control Laws. The Enforcement Unit was renamed as the Enforcement Directorate in 1957.

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