INSUBCONTINENT EXCLUSIVE:
The Bill seeks to confiscate properties of economic offenders - like Nirav Modi.
New Delhi: The Union Cabinet today approved a proposal to promulgate Fugitive
Economic Offenders Ordinance 2018 that provides for confiscating properties and assets of economic offenders like loan defaulters who flee
the country, sources said.The Fugitive Economic Offenders Bill was introduced in Lok Sabha on March 12 but could not be passed due to logjam
avoid facing criminal prosecution.The ordinance was approved at a Cabinet meeting chaired by Prime Minister Narendra Modi, the sources
refuse to return, persons against whom an arrest warrant has been issued for a scheduled offence as well as wilful bank loan defaulters with
outstanding of over Rs 100 crore.It provides for confiscating assets even without conviction and paying off lenders by selling off the
fugitive's properties.Such economic offenders will be tried under Prevention of Money Laundering Act (PMLA).The ordinance defines a fugitive
economic offender as a person against whom an arrest warrant has been issued for committing offence like counterfeiting government stamps or
currency, cheque dishonour for insufficiency of funds, money laundering, and transactions defrauding creditors.A fugitive economic offender
director or deputy director (appointed under the PMLA, 2002) may file an application before a special court (designated under the 2002 Act)
to declare a person as a fugitive economic offender.The application will contain the reasons to believe that an individual is a fugitive
economic offender.Besides, the application will have information about his whereabouts, a list of properties believed to be proceeds of a
crime for which confiscation is sought, a list of benami properties or foreign properties for which confiscation is sought, and a list of
persons having an interest in these properties.Upon receiving the application, the special court will issue a notice to the individual,
requiring him to appear at a specified place within six weeks
If the person appears at the specified place, the special court will terminate its proceedings under the provisions of the Bill.Any property
belonging to the fugitive economic offender may provisionally be attached without the prior permission of the special court, provided that
an application is filed before the court within 30 days.Appeals against the orders of the special court will lie before the High
Court.(Except for the headline, this story has not been edited by staff and is published from a syndicated feed.)
