Netaji Subhas Chandra Bose International is being investigated by the AML Watchdog ED that was involved in the illegal money laundering case.
WHAT IS FEMA?
The Foreign Exchange Management Act, 1999 (FEMA), is an Act of the Parliament of India “to consolidate and amend the law relating to foreign exchange with the objective of facilitating external trade and payments and for promoting the orderly development and maintenance of foreign exchange market in India. FEMA authorized the Central Government to impose restrictions and supervise three things related to foreign exchange- payments or receipts made to any person outside India.
What is Foreign Exchange?
Foreign Exchange is regarded as the converting the currency of one country to another. Foreign Exchange is also known as Forex. The value of country’s currency depends on the laws supply and demand. In the foreign exchange market, the different unique currencies are bought and sold.
WHAT IS PREVENTION OF MONEY LAUNDERING ACT?
An Act to prevent money-laundering and to provide for confiscation of property derived from, or involved in, money-laundering and for matters connected therewith or incidental thereto. Whosoever directly or indirectly attempts to indulge or knowingly assist or knowingly is a part or is actually involved in any process or activity connected with the proceeds of crime and projecting it as untainted property shall be guilty of offence of money-laundering.
How does Money Laundering Work?
Money laundering plays a major role for the criminal organization to curb the illegal activities that are taking place. To deal with the huge amount of cash is regarded as dangerous. The criminals are searching different ways to deposit there money in the legitimate financial institutions.
There are number of ways to launder money from a very simple to complex thing. Smurfing is regarded as one of the common form of money laundering. In smurfing the criminals distributes the large number of cash. The Money Laundering can be fulfilled by using the different type of currency exchanges.
WHAT IS DIRECTORATE OF ENFORECEMENT?
The Directorate of Enforcement is a multi-disciplinary organization mandated with investigation of offence of money laundering and violations of foreign exchange laws. The statutory functions of the Directorate include enforcement of the following: Prevention of Money Laundering Act,2002, Foreign Exchange Management Act,1999, Fugitive Economic Offenders Act,2018, Foreign Exchange Regulation Act,1973 and Sponsoring agency under COFEPOSA.
ABOUT Netaji Subhas Chandra Bose International CASE
Search was conducted at Netaji Subhas Chandra Bose International (NSCBI) Airport by ED under Foreign Exchange Management Act(FEMA), 1999 on 16/09/2022.
Netaji Subhas Chandra Bose International Airport Intelligence Unit of the Customs had received input that a lady Sangeeta Devi has been caught with foreign exchange. Search and seizure under FEMA was conducted at Netaji Subhas Chandra Bose International Airport on the person concerned.
1300 of United States Dollar (USD) of 100 USD denominations each amounting to almost Rs. 1.03 Crore was found in possession of Sangeeta Devi during the search. Netaji Subhas Chandra Bose International Case was interested in any investigation. The source of foreign exchange (USD) and the purpose of travelling with such a huge amount was not provided by Sangeet Devi. On failure to provide the explanation for possession of foreign currency, the currency was seized.
