Page 35 - Banking Finance January 2025

ARTICLE

Fetching Fugitive

Offenders through

Fugitive Economic

Sutapa Sinha
Offenders Ordinance STC, Union Bank of India
Chief Manager

Hyderabad

It is often seen that people first indulged in looting and then refuse to submit to the jurisdiction of
our legal system. No one has forgotten Nirav Modi, Mehul Choksy, Vijay Mallya. With an aim to
catch and punish those who are accused of committing financial crimes in India and then fleeing
from the country, Fugitive Economic Offenders Ordinance came into being in the year 2018.

I t is often seen that people first indulged in looting and Declaration of Fugitive Economic
then refuse to submit to the jurisdiction of our legal
Offenders
system. No one has forgotten Nirav Modi, Mehul
Choksy, Vijay Mallya. With an aim to catch and punish those An application must be filed in a Special Court
who are accused of committing financial crimes in India and designated under the Prevention of Money-Laundering
then fleeing from the country, Fugitive Economic Offenders Act, 2002 to declare an individual as a 'fugitive
Ordinance came into being in the year 2018. This Ordinance economic offender'.
provide for measures to deter fugitive economic offenders The application should include details of the properties
from evading the process of law in India by staying outside to be confiscated and any information about the
the jurisdiction of Indian courts, to preserve the sanctity of person's location.
the rule of law in India.
The Special Court will then issue a notice to the
individual, requiring them to appear at a specified place
Who is a 'fugitive economic offender'? within six weeks from the date of the notice.

"Fugitive economic offender" means any individual against If the person complies and presents themselves, the
whom a warrant for arrest in relation to a Scheduled Offence
proceedings will be terminated.
has been issued by any Court in India, who-
(i) The person has an arrest warrant issued against him The Act also permits designated authorities to
for any scheduled offences amounting to over Rs.100 provisionally attach properties of the accused while the
crores application is pending before the Special Court.
(ii) Has left India so as to avoid criminal prosecution; or
Once a person is declared an FEO, their properties can be
(iii) Being abroad, refuses to return to India to face criminal confiscated and vested in the Central Government, free
prosecution. from all encumbrances. Furthermore, the person declared

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