Notification No. S.O. 1397(E); Dated: 18.03.2026
The Central Government has amended the monetary limits for adjudication under the Foreign Exchange Management Act (FEMA) by revising the allocation of cases among adjudicating authorities.
1. Rationalisation of Adjudication Thresholds
The amendment substitutes the entries against serial numbers 3 and 4 in the existing table governing jurisdiction of adjudicating officers.
Under the revised framework:
-
Cases involving amounts exceeding ₹2 crore but not exceeding ₹10 crore are now assignable to both:
- Additional Director of Enforcement, and
- Joint Director of Enforcement
2. Removal of Earlier Distinction
Previously, the adjudication framework differentiated between:
- ₹2 crore to ₹5 crore, and
- ₹5 crore to ₹10 crore
This distinction has now been removed, and both ranges have been consolidated into a single unified slab of ₹2 crore to ₹10 crore.
3. Implications of the Amendment
The revised structure:
- Provides greater flexibility in allocation of cases
- Enables efficient distribution of workload among enforcement authorities
- Simplifies the adjudication framework under FEMA
4. Objective of the Amendment
The amendment aims to:
- Streamline adjudication processes
- Improve administrative efficiency in handling FEMA cases
- Ensure optimal utilisation of enforcement resources
Overall, the rationalisation enhances operational effectiveness in the adjudication of foreign exchange violations.
Click Here To Read The Full Notification
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