https://www.mid-day.com/news/india-news/article/ed-to-curb-money-laundering-through-online-gaming-after-government-ban-23594180

The Enforcement Directorate (ED) has decided to implement “focused strategies” to investigate financial crimes emerging from the Union government’s recent ban on real-money online gaming, news agency PTI reported. The agency will also ensure timely filing of charge sheets and fast-track trials in money laundering cases.

These measures were discussed during the 32nd quarterly conference of all zonal officers, comprising supervisory heads of the agency, held in Srinagar, Jammu and Kashmir, from September 12 to 13. The sessions were chaired by ED Director Rahul Navin.

The conference, held in the summer capital of the Union Territory, aimed to “restore confidence in the security environment of the state after the unfortunate terrorist attack at Pahalgam a few months ago”, reported PTI.

The ED said, “The successful completion of the conference demonstrated that J&K remains a safe, vibrant and forward-looking venue for national and international-level deliberations.”

One of the key discussions was the need for “focused strategies” to tackle challenges in the online gaming and betting sector following the government ban, reported PTI. Senior officers were also directed to maintain “preventive vigilance” and uphold ED’s core values of integrity, accountability, commitment, and excellence.

The agency highlighted “strong” ongoing cases in the cyber and digital fraud domains and decided that investigation methods and case compilations should be “systematically consolidated.” Officials also discussed addressing “conflicts” between the Insolvency and Bankruptcy Code (IBC) and the Prevention of Money Laundering Act (PMLA), noting cases where IBC provisions may be allegedly “misused.”

ED Director Navin instructed officials to pursue Foreign Exchange Management Act (FEMA) cases with “greater seriousness” and expedite the closure of pending FERA (now repealed) adjudication cases. Revised rules are being framed to enable effective possession of “confirmed attached properties,” preventing offenders from enjoying proceeds of crime.

The conference also shared that letters have been sent to Registrars of all Chief Justices proposing the establishment of exclusive PMLA courts. The ED noted that its conviction rate under PMLA stands at over 94 per cent, securing convictions in 50 out of 53 cases – among the highest success rates in India and globally.

“The discussions also noted that PMLA prosecutions are linked to the progress of predicate offences, and delays or adverse outcomes in those cases affect PMLA trials,” the agency said. It further highlighted that the ED has restituted or restored assets worth over Rs 34,000 crore to victims and legitimate claimants defrauded in various scams.

Discussions were also held on the need to revise existing circulars and operational manuals.

The ED, functioning under the Union finance ministry, enforces the criminal provisions of the Prevention of Money Laundering Act (PMLA), the Fugitive Economic Offenders Act (FEOA), and the civil provisions of the Foreign Exchange Management Act (FEMA).