Enforcement Directorate sent 220 FEMA Notices in past 3 Years
Enforcement Directorate (ED) sent 220 show cause notices under Foreign Exchange Management Act (FEMA) in past 3 years. These notices were issued in context with the illegal funds transfer in India through illegal channel.
The ED did not register the cases related with illegal money transfer from external sources in respect to the state government.
Foreign Exchange Management Act (FEMA):
- Passed in 1999
- Objective: To replace FERA (Foreign Exchange Regulations Act), 1973 which had become incompatible after economic reforms and pro-liberalization policies of the Government of India.
- Seeks to make offenses related to foreign exchange civil offenses.
- Allows only the authorized people to deal with foreign security or foreign exchange.
Categories: Banking Current Affairs 2018