Corporate White-Collar Crime in India: An EmpiricalAnalysis of Enforcement Gaps and Punitive Measures

Abstract

Corporate white-collar crime represents a significant threat to India’s economic stability, corporate governance standards, and public trust in financial institutions. Offences, such as securities fraud, insider trading, accounting manipulation, bribery, and money laundering, have increased in scale and complexity with the expansion of corporate activities and technological advancement. This study provides a critical and empirical evaluation of enforcement gaps within India’s legal and regulatory
framework and examines the effectiveness of existing punitive measures in addressing corporate misconduct. The study examines the principal legislative frameworks regulating corporate white-collar crime, including the Companies Act, 2013, the Securities and Exchange Board of India Act, 1992, the Prevention of Money Laundering Act, 2002, and pertinent provisions of the Indian Penal Code. It also assesses the roles, powers, and enforcement mechanisms of key regulatory bodies such as the Securities and Exchange Board of India (SEBI), the Serious Fraud Investigation Office (SFIO), and the Enforcement Directorate (ED). Adopting a doctrinal and analytical research approach, supported by selected case studies and publicly accessible enforcement data, the research highlights several structural and procedural challenges, including delays in investigation, low conviction rates, overlapping regulatory jurisdictions, and complexities in compliance requirements. The study argues
for reforms aimed at strengthening institutional capacity, improving inter-agency coordination, and streamlining enforcement procedures. It also emphasizes the need for stronger corporate compliance systems and proactive governance mechanisms within organizations. The paper concludes that addressing corporate white-collar crime in India requires a balanced regulatory approach that combines effective punitive measures with preventive oversight, transparency, and timely enforcement to enhance accountability and maintain public confidence in the corporate sector.