Enforcement Directorate (ED)

Enforcement Directorate (ED)

• It is a law enforcement agency and economic intelligence agency responsible for enforcing laws and fighting economic crime in India.
• It is part of the Department of Revenue, Ministry of Finance.

Objectives:

• The prime objective of the Enforcement Directorate is the enforcement of two key Acts-
• The Foreign Exchange Management Act 1999 (FEMA) and the Prevention of Money Laundering Act 2002 (PMLA).
• Other objectives are primarily linked to checking money laundering in India.

Composition:

• It comprises officers of the India Revenue Service, Indian Police Service and the Indian Administrative Service.

Background:

• The origin of this Directorate goes back to 1 May 1956, when an 'Enforcement Unit' was formed, in Department of Economic Affairs, for handling Exchange Control Laws violations under Foreign Exchange regulation Act, 1947.
• In the year 1957, this Unit was renamed as 'Enforcement Directorate'.