New Delhi: The Financial Action Task Force (FATF), the global watchdog overseeing efforts to curb money laundering and terror financing, has commended India’s asset recovery mechanism, describing it as one of the most effective among its member countries.
In its newly released report, “Asset Recovery Guidance and Best Practices", FATF highlighted the Enforcement Directorate (ED) as a model agency for its efficiency in tracing, attaching, and confiscating criminal proceeds. The report noted that India’s system represents a robust framework capable of recovering assets derived from economic and financial crimes.
FATF observed that India has built a well-coordinated and technology-driven mechanism for asset recovery, combining legal tools with operational collaboration across multiple agencies. It particularly praised India’s dual approach, which allows both conviction-based and non-conviction-based confiscations, ensuring that assets can be seized even before the completion of criminal trials.
The report also lauded India’s legislative strength under the Prevention of Money Laundering Act (PMLA), which enables authorities to swiftly freeze, attach, and confiscate assets suspected of being linked to criminal activity. This, FATF said, has made India’s enforcement model one of the most responsive and adaptable among member nations.
