RTI for Enforcement Directorate: FEMA Cases, Property Attachment & Enforcement Actions

The Enforcement Directorate (ED) is a multi-disciplinary law enforcement agency under the Department of Revenue, Ministry of Finance, Government of India. It is the primary authority responsible for enforcing the Foreign Exchange Management Act, 1999 (FEMA) — the civil statute governing cross-border currency transactions, capital account transactions, remittances, and foreign exchange violations — as well as the Prevention of Money Laundering Act, 2002 (PMLA). As a body substantially financed by the Central Government and discharging public functions under statutes enacted by Parliament, the Enforcement Directorate is unambiguously a public authority under Section 2(h) of the RTI Act, 2005.

FEMA proceedings have a direct impact on individuals and businesses involved in international trade, foreign investment, NRI remittances, overseas real estate transactions, and foreign currency accounts. A provisional attachment of property under FEMA, or a show cause notice alleging foreign exchange contraventions, can paralyse business operations and cloud property titles. Yet the persons affected often have difficulty obtaining basic information about the status of proceedings against them or about properties attached in their vicinity. The Right to Information Act provides a statutory mechanism to access ED records that are not covered by the investigation exemption under Section 8(1)(h).

What the Enforcement Directorate Does Under FEMA

FEMA replaced the older Foreign Exchange Regulation Act (FERA) in 1999 with the explicit aim of liberalising foreign exchange management while preserving the government's ability to prevent capital flight and exchange control violations. Under FEMA, the ED investigates alleged contraventions — for example, receiving foreign remittances without permission, holding foreign assets without declaration, making overseas direct investments in excess of prescribed limits, or violating export realisation norms. FEMA is a civil statute: contraventions are dealt with through adjudication (not criminal prosecution), and most FEMA violations are compoundable — meaning the accused may pay a negotiated penalty under Section 15 of FEMA to settle the matter without a full adjudication hearing.

Key FEMA enforcement tools include: (a) provisional attachment of property under Section 5 of FEMA when the ED reasonably believes that the property is derived from or connected to a foreign exchange contravention; (b) adjudication proceedings before an Adjudicating Authority leading to an adjudication order imposing a monetary penalty; (c) compounding proceedings before the Compounding Authority resulting in a compounding order; and (d) issuance of show cause notices under Section 16 of FEMA requiring the noticee to explain why a penalty should not be imposed.

Because these proceedings involve significant monetary and property interests, parties have a legitimate need to obtain the foundational records — attachment orders, adjudication orders, hearing dates, and compounding amounts. RTI is the appropriate statutory route to access this information.

Information You Can Seek from the ED Under RTI

Not all ED records are available under RTI — the investigation exemption under Section 8(1)(h) protects records that could prejudice ongoing FEMA investigations. However, a substantial body of information is accessible, particularly for concluded or near-concluded proceedings:

Provisional Attachment Orders (PAOs): The ED issues PAOs under Section 5 of FEMA when it provisionally attaches property believed to be connected to a foreign exchange contravention. These orders must be confirmed by an Adjudicating Authority within a prescribed period. You can seek a certified copy of the PAO, the schedule of attached properties, the date of issuance, and the confirmation or revocation status. Attachment orders affecting immovable property are often registered with the local Sub-Registrar, making them part of the public title chain.

Compounding Application Status: FEMA Section 15 allows persons who have contravened FEMA provisions to apply for compounding of the contravention by paying a penalty determined by the Compounding Authority. If you have filed a compounding application, you can ask for the current status, whether a hearing has been scheduled, the compounding amount determined, and a copy of the compounding order.

Show Cause Notices under Section 16: A show cause notice initiates the formal adjudication process. You can ask for the notice details — FEMA sections alleged to have been contravened, the adjudicating authority to whom the matter has been assigned, the next scheduled hearing date, and whether an adjudication order has been passed.

Adjudication Orders: Once the Adjudicating Authority passes an order, it becomes a quasi-judicial record. The CIC has held in multiple orders that quasi-judicial records of public authorities are not personal information under Section 8(1)(j) — they are records of official proceedings exercising public power. You can seek a certified copy of the adjudication order along with the penalty imposed and the FEMA section under which the penalty was levied.

Enforcement Statistics: Aggregate data — total number of FEMA cases filed, disposed, and pending; total value of properties attached zone-wise during a financial year; number of compounding applications received and disposed — does not attract any exemption and should be furnished readily.

The Section 8(1)(h) Exemption: What It Covers and What It Does Not

Citizens seeking FEMA-related information from the ED will frequently encounter a refusal citing Section 8(1)(h) of the RTI Act, which exempts information that "would impede the process of investigation or apprehension or prosecution of offenders." This exemption is legitimate when the investigation is genuinely ongoing and when disclosure would prejudice the investigation — for example, by revealing the identity of informants, the documents seized, or the evidence being compiled.

However, the exemption has well-defined limits established by the CIC in its orders:

• Concluded proceedings: Once an adjudication order has been passed, a compounding order has been issued, or a closure order has been recorded, the matter is no longer under active investigation. Section 8(1)(h) cannot be invoked to deny access to orders passed in concluded proceedings.
• Aggregate statistics: Numbers of cases filed, disposed, and pending, or total value of attached property, do not reveal the identity of any accused person or the strategy of any investigation. The CIC has consistently held that Section 8(1)(h) does not cover aggregate statistics.
• Third-party orders affecting your property: If your property has been attached by the ED in a FEMA case not directly involving you — for example, a property in your housing complex attached because another owner is under investigation — you have a right to know the factual basis of the attachment insofar as it affects your title.
• Severability under Section 10: Even where some parts of a document attract Section 8(1)(h), the ED is required under Section 10 of the RTI Act to sever and provide the non-exempt portions.

If the ED's CPIO invokes Section 8(1)(h) as a blanket refusal without document-level specificity, challenge this in your First Appeal and, if necessary, before the CIC.

How to File Your RTI Application with the Enforcement Directorate

File your RTI application online at rtionline.gov.in. On the portal:

1. Register or log in with your mobile number or email address
2. Select Ministry: Ministry of Finance — Department of Revenue
3. Select Public Authority: Enforcement Directorate
4. Write your request in the text box or attach a PDF if the application is detailed; ensure each information request is separately numbered
5. Pay the application fee of ₹10 online (net banking, debit card, UPI)
6. Note your registration number to track the application status

BPL cardholders are exempt from the application fee — attach a self-attested copy of your BPL card when submitting.

Postal filing: You may also send a written application by post to the CPIO, Enforcement Directorate, at the relevant Zonal or Sub-Zonal Office, with a demand draft or Indian Postal Order of ₹10 drawn in favour of "Pay and Accounts Officer, Enforcement Directorate." Retain the postal receipt and a copy of the application as proof of submission.

Which office to address: The ED has Zonal Offices in major cities (Delhi, Mumbai, Chennai, Kolkata, Chandigarh, etc.) and Sub-Zonal Offices in other cities. As a general rule, address the CPIO of the Zonal Office that has jurisdiction over the FEMA case or the property in question. If you are unsure, file with the CPIO at ED Headquarters, New Delhi — under Section 6(3) of the RTI Act, a CPIO who does not hold the records is required to transfer your application to the correct CPIO within five days.

Appeals

First Appeal — Section 19(1)

If the CPIO does not respond within 30 days of receipt of your application, or if the response is incomplete, incorrect, or unsatisfactory — including a blanket denial citing Section 8(1)(h) for concluded proceedings — file a First Appeal with the First Appellate Authority (FAA) at the same Enforcement Directorate office. The First Appeal must be filed within 30 days of the date of decision or expiry of the 30-day response period, whichever is applicable.

In cases where the information requested concerns the life or liberty of a person — for example, where a person is detained or where immediate property rights are at stake — the CPIO is required to furnish information within 48 hours under the proviso to Section 7(1) of the RTI Act, 2005. If the CPIO fails to meet this 48-hour deadline in a genuine life or liberty situation, file an immediate First Appeal.

Second Appeal — Section 19(3)

If the FAA's response is absent or unsatisfactory, file a Second Appeal with the Central Information Commission (CIC) under Section 19(3) of the RTI Act within 90 days of the FAA's decision or the expiry of the FAA's response period. The Enforcement Directorate is a Central Government body under the Ministry of Finance — all second appeals lie with the CIC, not with any State Information Commission.

At the CIC, you can argue that: (i) Section 8(1)(h) does not apply to concluded proceedings; (ii) the severability obligation under Section 10 requires part-disclosure even where some records are exempt; and (iii) aggregate statistical information is not exempt under any provision of Section 8. The CIC has authority under Section 20 of the RTI Act to impose a penalty of ₹250 per day (up to ₹25,000) on the CPIO for unjustified denial or delay in furnishing information, and to recommend disciplinary action in cases of persistent non-compliance.