After the Union Cabinet passed the Fugitive Economic Offenders Bill, Finance Minister Arun Jaitley briefed the press. The Bill proposes confiscation of assets without a conviction in cases related to fugitive economic offenders.
The Bill aims at deterring economic offenders from fleeing India and not returning to face trial. This Bill will be effective and the Government will have a quicker recovery of the dues.
During the press briefing Arun Jaitley said, “In the last budget, there was an announcement that the Government bring law to confiscate assets of fugitives under economic offenses. That has been approved by cabinet today.”
He further explained the Bill will describe the benchmark for a fugitive economic offender. Jaitley also specified the law would be applicable to the offenders involved in cases with more than Rs. 100 crores.
The Finance Minister further added, “This act provides for constituting a National Financial Reporting Authority (NAFRA). This authority will have it specified on which cases it can act under the rules. Under first instance, all listed companies and unlisted large companies will be covered under NAFRA. Any companies below will still be under institute of chartered accountants.”
The overseas assets of the fugitive will also be liable for confiscation depending on the country’s cooperation. This Bill will also prevent a convicted Fugitive Economic Offender from making an civil claim in the Country.
