In view of increasing cases of corporate fraud, it is necessary to provide sufficient powers to Serious Fraud Investigation Office to remove all ambiguities. Explain (200 Words)
Refer - Financial Express
Enrich the answer from other sources, if the question demands.
IAS Parliament 3 years
KEY POINTS
The sophisticated nature of financial crimes required a specialised agency to investigate and prosecute white-collar criminals.
Hurdles
· A major hurdle in investigating complex financial crimes across the globe has been jurisdictional overlap between investigative agencies, leading to divergent findings.
· The biggest hurdle was the lack of legislative backing.
SFIO
· Against this backdrop, the Serious Fraud Investigation Office (SFIO) was established on the recommendation of the Naresh Chandra Committee.
· The objective was to create a multidisciplinary body that could single-handedly tackle complex corporate frauds.
· Statutory status has been given under companies act 2013.
· It could now arrest the accused while the threshold for obtaining bail was made incredibly high.
· Under the Companies Act, investigation into corporate frauds by other investigation agencies under various statues, including the IPC, are to be transferred to the SFIO, once it begins its probe.
· It also directs other investigative agencies, including the police, to provide all the information/documents available with them to the SFIO so as to avoid duplication of work.
· Under the Companies Act, special courts have been established to adjudicate upon cases of corporate fraud.
Way forward
· In view of the burgeoning cases of corporate fraud, it is imperative to arm the SFIO with sufficient teeth and remove all ambiguities.
aswin 3 years
Please review
IAS Parliament 3 years
Good attempt. Keep Writing.
Gargi 3 years
Please review
IAS Parliament 3 years
Try to cut short the introduction part and stick to the word limit. Keep Writing.
Dev 3 years
Please Review and provide Feedback
I have a question:
While writing the answer I cannot write the answer directly as I see the question, I mean First I have to make some points in rough and then I have to form a proper sentence which consumes time, will not help in the mains exam?
If possible then can you provide a tip or solution for this issue??
It would be a great help.
IAS Parliament 3 years
Good attempt. Try to reduce the usage of arrow marks in the answer. Keep Writing.</p><p>It is better to spend time on collecting the points before writing an answer, initially it will take a lot of time, it will definitely help you in writing a good answer in mains. </p><p>By writing the answer consistently you will be able to write good answers in the exam.
Sheetal Vinod Kothari 3 years
Please do comment
IAS Parliament 3 years
Answer not yet posted. Try to repost the answer.
