Internal Security Part 4: Black Money — PMLA, FATF and the Recovery Record, Exam-Ready Notes

1 min read · 109 words
Civil ExamsCivil Services1 min read

Black money law is a three-layer pie: PMLA, the 2016 Act and FATF-driven information exchange.

On this page

  1. PMLA machine
  2. FATF layer
  3. The record
  4. Revise in 30 seconds

PMLA machine

  • ED attachment and conviction rates improved; the appellate tribunal was abolished, appeals now go to High Courts.

FATF layer

  • India met expectations in the 2021 mutual evaluation; grey-listing of neighbours affects routing.
  • CRS and FATCA auto-exchange plus the JAM trinity squeeze the rails.

The record

  • Undisclosed-income detection runs into tens of thousands of crore; prosecutions under the 2016 Act move slowly.
  • Electoral bonds struck down in 2024: the political-finance transparency file reopened.

Revise in 30 seconds

  • ED is the PMLA engine; appeals to High Courts.
  • FATF evaluation: 2021, India cleared.
  • JAM + CRS squeeze hidden channels.
  • Electoral bonds void: 2024.

Quick revision

  • ED attachment and conviction rates improved; the appellate tribunal was abolished, appeals now go to High Courts.
  • India met expectations in the 2021 mutual evaluation; grey-listing of neighbours affects routing.
  • CRS and FATCA auto-exchange plus the JAM trinity squeeze the rails.
  • Undisclosed-income detection runs into tens of thousands of crore; prosecutions under the 2016 Act move slowly.
  • Electoral bonds struck down in 2024: the political-finance transparency file reopened.
  • ED is the PMLA engine; appeals to High Courts.