THE ROLE OF THE ENFORCEMENT DIRECTORATE IN THE INDIAN CRIMINAL JUSTICE SYSTEM

AUTHOR – UJJWAL SHAHI * & AMBAR SRIVASTAVA**,

* STUDENT AT LAW COLLEGE DEHRADUN FACULTY OF UTTARANCHAL UNIVERSITY. EMAIL – SHAHIUJJWAL56@GMAIL.COM.

** ASSISTANT PROFESSOR AT LAW COLLEGE DEHRADUN FACULTY OF UTTARANCHAL UNIVERSITY. EMAIL – AMBARSRI76@GMAIL.COM,

BEST CITATION – UJJWAL SHAHI & AMBAR SRIVASTAVA, THE ROLE OF THE ENFORCEMENT DIRECTORATE IN THE INDIAN CRIMINAL JUSTICE SYSTEM, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (4) OF 2025, PG. 204-214, APIS – 3920 – 0001 & ISSN – 2583-2344.

Abstract

“This paper examines the evolving role of the Enforcement Directorate (ED) within India’s criminal justice system, focusing on its development as a specialized financial intelligence agency under the Ministry of Finance. Established in 1956 as the “Enforcement Unit,” the ED has transformed from enforcing foreign exchange regulations to combating sophisticated financial crimes. The research analyzes the ED’s legal foundation through three primary legislative frameworks: the Foreign Exchange Management Act 1999 (FEMA), the Prevention of Money Laundering Act 2002 (PMLA), and the Fugitive Economic Offenders Act 2018 (FEOA). These laws collectively empower the ED with extensive quasi-judicial and investigative powers, including abilities to summon individuals, conduct searches, seize assets, and arrest suspects. The study highlights the ED’s impact through high-profile case studies such as the Punjab National Bank scam, INX Media case, and 2G Spectrum allocation controversy, demonstrating its effectiveness in tackling complex economic offenses. However, the research also addresses significant criticisms facing the organization, including allegations of political bias, low conviction rates under PMLA, and concerns about operational overreach. Through comparative analysis with similar international agencies, the paper evaluates the ED’s independence, accountability mechanisms, and operational efficiency. Recent legal developments, including Supreme Court judgments and legislative amendments expanding the scope of economic offenses, are examined to understand the ED’s evolving jurisdiction. The research concludes by proposing recommendations for strengthening the ED’s investigative capabilities while ensuring fairness, transparency, and adherence to constitutional frameworks.”

Keywords:- Enforcement Directorate, FERA , FEMA, Agency,