INSPECTION, SEARCH AND SEIZURECentral

Section 25 of The Foreign Contribution (Regulation) Act, 2010

If any gazetted officer, authorised in this behalf by the Central Government by general or special order, has any reason to believe that any person has in his possession or control any article exceeding the value specified in sub-clause (i) of clause (h) of sub-section (1) of section 2 or currency or security whether Indian or foreign, in relation to which any provision of this Act has been or is being, contravened, he may seize such article or currency or security.

Summary

An authorised gazetted officer can seize physical items, currency, or securities if they have reason to believe a violation of the rules has occurred.
The seizure power applies equally to both Indian currency and foreign currency.
The seizure can include physical articles, provided the value of the article is greater than the limit set for personal gifts.
The officer making the seizure must be authorised by the Central Government through a general or special order.

Practical examples

1On August 10, 2026, a specially authorised gazetted officer stops a person and seizes 50,000 in foreign currency because there is reason to believe the person received it illegally from a foreign source.

2A person receives an extremely expensive imported watch from a foreign company. An authorised officer seizes it because its market value is far above the legal limit allowed for personal gifts, violating the rules.

FAQ

1. Who has the authority to seize cash under Section 25 of the FCRA?

Under Section 25 of The Foreign Contribution (Regulation) Act, 2010, any gazetted officer who is authorised in this behalf by the Central Government can seize currency.

2. Can an officer seize Indian currency under Section 25 of the FCRA, or just foreign money?

Section 25 of The Foreign Contribution (Regulation) Act, 2010 allows for the seizure of currency or security whether it is Indian or foreign, as long as there is reason to believe it is tied to a violation of the Act.

3. Can the government seize small personal gifts sent by family abroad under Section 25 of the FCRA?

No, Section 25 of The Foreign Contribution (Regulation) Act, 2010 only allows the seizure of physical articles if their value exceeds the specific limit set for personal gifts under the definitions of the Act.

Test yourself

Q1.How does Section 2 of the Act restrict the seizure of articles under Section 25 of The Foreign Contribution (Regulation) Act, 2010?

Q2.Under Section 25 of The Foreign Contribution (Regulation) Act, 2010, who is empowered to seize currency or securities?

Q3.Does Section 25 of The Foreign Contribution (Regulation) Act, 2010 allow for the seizure of Indian currency?

Q4.What condition must be met before an officer can execute a seizure under Section 25 of The Foreign Contribution (Regulation) Act, 2010?

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