THE ROLE OF LAW ENFORCEMENT AGENCIES IN COMBATING WHITE-COLLAR CRIME IN INDIA AND THE EFFECTIVENESS OF THE INDIAN LEGAL SYSTEM IN PROSECUTING WHITE-COLLAR CRIMINALS
AUTHOR – NAVYA TIWARI, AMITY LAW SCHOOL, AMITY UNIVERSITY, NOIDA
BEST CITATION – NAVYA TIWARI, THE ROLE OF LAW ENFORCEMENT AGENCIES IN COMBATING WHITE-COLLAR CRIME IN INDIA AND THE EFFECTIVENESS OF THE INDIAN LEGAL SYSTEM IN PROSECUTING WHITE-COLLAR CRIMINALS, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (10) OF 2025, PG. 558-573, APIS – 3920 – 0001 & ISSN – 2583-2344.
ABSTRACT
This dissertation critically examines the growing menace of white-collar crime in India within a comparative and multi-dimensional framework. White-collar crimes—characterized by deceit, concealment, or violation of trust—pose a severe threat to national economic security, public confidence, and institutional integrity. With the rapid advancement of technology, globalization, and digital finance, the nature and scope of these crimes have become increasingly complex and transnational. The study explores the evolution of white-collar crime, both globally and within the Indian legal context, categorizing major types such as corporate fraud, insider trading, money laundering, cybercrime, and regulatory violations. It further investigates causes and motivations, including socio-economic aspirations, institutional gaps, political patronage, and weak compliance culture. This dissertation offers an in- depth analysis of India’s statutory framework, covering provisions under the Indian Penal Code, Prevention of Corruption Act, Prevention of Money Laundering Act, Companies Act, SEBI Act, and the Information Technology Act. It also assesses the roles and performance of key law enforcement and regulatory bodies such as the Central Bureau of Investigation (CBI), Enforcement Directorate (ED), Serious Fraud Investigation Office (SFIO), Financial Intelligence Unit (FIU), and the Securities and Exchange Board of India (SEBI). By reviewing high-profile case studies like the Satyam scandal, Nirav Modi case, and Harshad Mehta scam, the research identifies key legal, procedural, and institutional challenges that hinder effective prosecution, including delays, evidence tampering, inadequate digital forensic capacity, and political interference. The dissertation also undertakes a comparative legal analysis of enforcement mechanisms in the USA, UK, and Singapore—highlighting best practices involving specialized white- collar crime agencies like the FBI, SEC, and SFO, and cooperative international efforts under organizations such as INTERPOL, FATF, and UNCAC. Furthermore, it emphasizes the need for legal reforms, specialized training, AI-based forensic tools, enhanced inter-agency coordination, robust whistleblower protection mechanisms, and capacity-building to strengthen India’s white-collar crime deterrence and prosecution mechanisms. The study concludes by offering recommendations and future directions, with a strong emphasis on creating a transparent, technologically equipped, and globally cooperative enforcement ecosystem to combat the growing threat of white-collar crimes in India.Keywords: White-Collar Crime, Corporate Fraud, Money Laundering, Insider Trading, Cybercrime, CBI, ED, SFIO, SEBI, Legal Framework, Judicial Trends, FATF, UNCAC, Forensic Investigation, Whistleblower Protection, India, Law Enforcement, Regulatory Agencies, Comparative Legal Analysis, Economic Offences.