The Enforcement Directorate has initiated investigations in over 2500 Foreign Exchange Management Act, 1999 – FEMA cases during the financial year 2022-23.
NEW DELHI (India CSR Exclusive): The Directorate of Enforcement (ED) has initiated investigations in a total of 2521 cases under the provisions of the Foreign Exchange Management Act, 1999 (FEMA) up to 30th November, according to the Annual Report 2022-23 of the Ministry of Finance, Govt. of India, The report highlights the Directorate’s efforts in cracking down on violations of FEMA regulations during the ongoing financial year.
261 Show Cause Notices Issued, 314 Cases Adjudicated
During the same period, the Directorate of Enforcement has issued a total of 261 Show Cause Notices to individuals and organizations suspected of violating FEMA regulations. Additionally, 314 cases have been adjudicated, indicating that the organization is taking swift action against those found guilty of breaking the law.
Penalties Imposed and Realized
The report also reveals that the Directorate of Enforcement (ED) has imposed penalties amounting to Rs. 2149.01 crores on individuals and organizations found to have violated FEMA regulations. Further, the organization has managed to realize penalties amounting to Rs. 11.93 crore during the period.
Cracking Down on FEMA Violations
The Directorate’s efforts to crack down on FEMA violations during the current financial year highlights the government’s commitment to promoting transparency and accountability in financial transactions. With the organization continuing its investigations and adjudications, it is expected that more individuals and organizations will be brought to justice for violating FEMA regulations in the future.
Here’s a table summarizing the important points from the news report:
KeyInformation | FinancialYear 2022-23 |
Cases Initiated | 2521 |
Show Cause Notices Issued | 261 |
Cases Adjudicated | 314 |
Penalties Imposed | Rs. 2149.01 crores |
Penalties Realized | Rs. 11.93 crore |
Act Involved | Foreign Exchange Management Act, 1999 (FEMA) |
What is FEMA?
FEMA stands for the Foreign Exchange Management Act, 1999. It is a law enacted by the Indian government to consolidate and amend the law relating to foreign exchange with the objective of facilitating external trade and payments and promoting the orderly development and maintenance of the foreign exchange market in India. The act provides for the regulation of foreign exchange transactions, dealings in foreign currency, and the acquisition and holding of foreign exchange by individuals and entities in India.
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