Fugitive Economic Offenders Owe ₹58,082 Crore to Indian Banks

The Indian government has disclosed that fifteen individuals, classified as Fugitive Economic Offenders (FEOs), collectively owe ₹58,082 crore to public sector banks. This announcement was made by Pankaj Chaudhary, the Minister of State for Finance, during a session in the Lok Sabha on December 2, 2025.

Among the offenders are well-known figures such as Vijay Mallya, Nirav Modi, and the Sandesara brothers, who have been embroiled in various financial frauds. The Sandesara brothers, who are the promoters of Sterling Biotech, are reported to owe ₹18,694.32 crore, which includes ₹7,875.40 crore in principal and ₹10,818.92 crore in interest.

In his written response to Parliament, Chaudhary noted that as of October 31, 2025, these offenders had a total principal debt of ₹26,645 crore and interest liabilities amounting to ₹31,437 crore. The public sector banks have managed to recover ₹3,156.17 crore from the Sandesara brothers alone.

The Fugitive Economic Offenders Act, enacted in 2018, was designed to deter individuals from evading Indian law by remaining outside the jurisdiction of Indian courts. This legislation allows authorities to confiscate assets and proceeds from crimes when the amount involved exceeds ₹100 crore.

Chaudhary informed the Lok Sabha that out of the fifteen individuals declared as FEOs, nine are associated with significant financial frauds against public sector banks. The list of offenders includes other names such as Nitin J. Sandesara and Chetan J. Sandesara, alongside several others linked to various financial crimes.

Notably, the Supreme Court of India recently agreed to quash all criminal proceedings against the Sandesara brothers after they committed to depositing an additional ₹5,100 crore as part of a one-time settlement with the banks. They have already deposited ₹3,507 crore, leaving a remaining amount of approximately ₹3,253 crore against a total settlement of ₹6,761 crore.

In total, the fifteen declared FEOs owe significant sums to twelve state-owned banks, including Punjab National Bank, Bank of Baroda, and the State Bank of India. The government aims to recover as much public money as possible through these legal proceedings and settlements.

In response to a query regarding measures to prevent such offenders from leaving the country in the future, Chaudhary stated that no specific policy is currently being developed for this purpose. The government continues to focus on legal avenues to recover funds from these offenders to safeguard public interest.