In a strong endorsement of India’s efforts to curb financial crimes, the Financial Action Task Force (FATF) has highlighted multiple examples from the country in its latest publication, recognising the Enforcement Directorate’s (ED) work in setting operational benchmarks for global asset recovery.
The FATF’s new report, titled Asset Recovery Guidance and Best Practices, presents India’s effective framework for tracing, seizing, and returning assets derived from criminal activities.
The guidance follows FATF’s most extensive reform of global standards on confiscation and international cooperation in over three decades. It provides a detailed roadmap for countries to strengthen their asset recovery mechanisms, drawing heavily from India’s experience.
According to the publication, India’s examples, based on ED investigations, demonstrate how robust legal tools and coordinated enforcement efforts can ensure justice for victims and maintain financial integrity.
Among the cases cited is a major investment fraud in which joint action by the ED and Andhra Pradesh Police led to the attachment and restoration of assets worth Rs 60 billion to victims.
The report also refers to another case where immovable properties worth Rs 17.77 billion, equivalent to proceeds of crime transferred abroad, were attached under the Prevention of Money Laundering Act (PMLA). These instances, FATF said, highlight India’s effective use of value-based confiscation mechanisms.
India’s Fugitive Economic Offenders Act, 2018, has also been featured as a model example of the “doctrine of fugitive disentitlement,” which enables the confiscation of properties belonging to offenders evading judicial proceedings.
The FATF notes that this legal framework has become a reference point for other jurisdictions aiming to tackle economic fugitives.
The report further cites the ED’s proactive action in a Ponzi scheme investigation, where cryptocurrencies worth Rs 16.46 billion were seized, along with other assets valued at Rs 4.89 billion.
Under the section on international cooperation, FATF commends India’s collaboration with the United States in a drug trafficking and money laundering case.
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Based on a mutual legal assistance request, the ED seized 268.22 bitcoins valued at Rs 1.3 billion and attached other assets worth over USD 1 million, later filing a prosecution complaint for confiscation.
The FATF also appreciated India’s victim-centric approach to asset return. In a chit-fund-related case, assets worth Rs 5.38 billion were released to reimburse more than 75,000 investors through a High Court-constituted Asset Disposal Committee.
Similarly, in a case concerning a Cooperative Bank, properties worth Rs 2.9 billion were handed over to the Maharashtra Protection of Interest of Depositors authority to compensate victims.
The global watchdog noted that India’s legislative framework under the PMLA and the Fugitive Economic Offenders Act provides a comprehensive model supporting efficient asset recovery and management.
The country’s use of advanced technology, financial data analytics, and coordination between law enforcement agencies, financial intelligence units, and tax authorities has been cited as an emerging best practice.
Through active participation in FATF working groups and plenary sessions, India, represented by the Directorate of Enforcement, has contributed to shaping revised global standards.
The inclusion of several Indian case studies in the guidance reflects the nation’s growing influence in promoting transparency, accountability, and victim-focused asset recovery systems.
The Asset Recovery Guidance and Best Practices serves as a key global reference for enhancing legal and operational measures against financial crimes, with India’s examples illustrating how coordinated enforcement and strong inter-agency collaboration can deliver tangible results in the pursuit of justice.
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