The Enforcement Directorate (ED) has intensified its action against bank fraud accused who fled the country, with the government informing the Rajya Sabha that investigations are currently underway in 32 bank fraud cases involving 54 absconding individuals. The cases are being probed under the Prevention of Money Laundering Act (PMLA), 2002. Assets worth ₹35,166.28 crore have been attached so far, while properties valued at ₹15,184.19 crore have already been confiscated following the completion of legal proceedings.
Minister of State for Finance Pankaj Chaudhary, in a written reply to the Rajya Sabha, said the government has adopted a multi-pronged strategy to trace and prosecute the fugitives. Measures include the issuance of Interpol Red Corner Notices and Blue Corner Notices, initiation of proceedings under the Fugitive Economic Offenders Act (FEOA), 2018, and efforts to secure the extradition of accused persons from foreign jurisdictions.
According to the minister, FEOA proceedings have been initiated against 27 of the 54 accused. Courts have so far declared nine individuals as Fugitive Economic Offenders, resulting in the confiscation of assets worth ₹840.68 crore. Extradition proceedings are also in progress against 18 accused to facilitate their return to India for prosecution.
The minister said the ED continues to pursue asset attachment, money laundering investigations, and international cooperation mechanisms to ensure that those responsible for major economic offences are brought to justice. The government’s objective, he added, is to prevent economic offenders from evading the legal process after causing significant losses to the banking system.
In a separate reply, Chaudhary also shared details regarding unclaimed deposits lying with public sector banks. As of June 30, 2026, unclaimed deposits transferred to the Reserve Bank of India’s Depositor Education and Awareness (DEA) Fund had reached ₹62,683.19 crore.
He said the government and the RBI have introduced several measures to simplify the process for rightful account holders and their legal heirs to reclaim these deposits. The initiatives are aimed not only at reducing the existing stock of unclaimed deposits but also at minimizing future transfers of dormant accounts to the DEA Fund.
Responding to another query on the insurance sector, the minister said the Insurance Regulatory and Development Authority of India (IRDAI) continuously monitors complaints related to mis-selling, unfair business practices, and claim settlement issues. These include disputes over policy terms, exclusions, and claim processing.
He noted that such complaints are tracked through the ‘Bima Bharosa’ portal, an online platform that enables policyholders to file grievances, monitor their status, and track their resolution. According to the available data, 28,789 complaints related to unfair business practices, including mis-selling, were recorded during the 2025–26 financial year.
On India’s foreign exchange reserves, Chaudhary said fluctuations are influenced by multiple factors, including the RBI’s purchase and sale of foreign currencies, investment income earned on reserve assets, external assistance received by the central government, and valuation changes arising from asset revaluation.
He clarified that the value of the Indian rupee is market-determined and is not managed within any fixed target or exchange rate band. However, the RBI closely monitors the foreign exchange market and intervenes whenever excessive volatility threatens market stability. Between February and May 2026, the central bank sold US$97.13 billion in the foreign exchange market. As of July 10, 2026, India’s foreign exchange reserves were sufficient to cover 10.3 months of merchandise imports, while the country’s short-term external debt, based on original maturity, stood at 21.6% of the total foreign exchange reserves at the end of March 2026.
