The Directorate General of Economic Enforcement (Enforcement Directorate) is a law enforcement and economic intelligence agency responsible for enforcing economic laws and fighting economic crime in India.

Its role is to enforce and administer two key laws:

• Foreign Exchange Management Act (FEMA): The ED is responsible for the enforcement of FEMA, which regulates foreign exchange transactions, cross-border transactions, and other financial dealings involving foreign currency and assets. 

• It aims to ensure that foreign exchange and foreign payments are made in compliance with the law and do not involve money laundering or other illegal activities.

• Prevention of Money Laundering Act (PMLA): The ED also enforces the provisions of the PMLA, which is focused on preventing and combating money laundering. Money laundering involves the process of making illegally obtained money appear legal by passing it through a complex sequence of banking transfers or commercial transactions. 

• The PMLA provides the legal framework to identify, seize, and confiscate the proceeds of crime and take action against those involved in money laundering.

The primary roles and functions of the Enforcement Directorate include:

Investigation: The ED investigates cases related to foreign exchange violations, money laundering, and other financial crimes. It conducts inquiries, gathers evidence, and takes legal action against individuals, entities, or organizations involved in such offenses.

Adjudication: The ED also has the authority to adjudicate cases under FEMA, where it can impose penalties for violations of foreign exchange regulations. These penalties can be financial in nature and are intended to deter future violations.

Prosecution: The ED can initiate prosecution proceedings against individuals or entities accused of money laundering and related financial crimes. It can file cases in court and pursue legal actions to bring offenders to justice.

Asset Forfeiture: One of the key functions of the ED is to seize and confiscate assets and properties that are believed to be the proceeds of illegal activities, including money laundering. This is done to disrupt criminal activities and deter potential wrongdoers.

International Cooperation: The ED often collaborates with foreign law enforcement agencies and financial institutions to investigate cases with international dimensions. This cooperation is crucial in addressing transnational financial crimes.

To sum it up, the Enforcement Directorate plays a crucial role in safeguarding the financial integrity of India by combating financial offenses, promoting compliance with foreign exchange regulations, and preventing money laundering. It is an important agency in the fight against economic and financial crimes in the country.