The Financial Action Task Force (FATF) has lauded a joint investigation conducted by India’s Enforcement Directorate (ED) and United States (US) agencies, showcasing it in its newly released Handbook on International Cooperation Against Money Laundering. The case has been highlighted as a model example of swift, informal international collaboration against transnational organised crime.
Global drug syndicate unearthed by ED
According to FATF, the ED’s probe unravelled a massive global drug trafficking network operating through the darknet and free-to-access websites, with links to narcotics worth nearly $150 million (Rs 1,250 crore). The syndicate was masterminded by two brothers, Banmeet Singh and Parvinder Singh, who ran the operation under the alias “Singh DTO.”
Investigations revealed that the brothers were using digital platforms to sell drugs worldwide, generating illicit proceeds that were laundered via cryptocurrencies. At the time of the probe, they were found controlling 8,500 Bitcoins, equivalent to more than $150 million.
Cyber trails and money laundering tactics
Legal and cyber investigations exposed the scale of the brothers’ laundering methods. Funds were funnelled through crypto exchanges and darknet platforms, obscuring the money trail and making detection challenging. The use of Bitcoin wallets and anonymous online spaces enabled the criminals to shield their financial flows while expanding the drug network globally.
FATF emphasised that such syndicates rely heavily on emerging technologies and cryptocurrencies, making timely intelligence sharing between jurisdictions crucial in countering threats.
Informal cooperation led to swift action
One of the key reasons FATF recognised this case was the non-traditional approach to international cooperation. Unlike the slower, formal route of Mutual Legal Assistance (MLA), both India and the US leaned heavily on informal mechanisms- constant information exchange, real-time coordination, and joint analytical efforts.
This strategy not only accelerated progress in the case but also deepened cross-border trust. The FATF handbook cited it as a “best practice” that can guide other nations dealing with complex, multi-jurisdictional money laundering cases.
India strengthening its international legal framework
In parallel, India’s Ministry of Home Affairs has launched an online MLA portal to make international cooperation more transparent, accessible, and faster. Moreover, both PMLA (Prevention of Money Laundering Act) and CrPC (Code of Criminal Procedure) have been updated with structured guidelines to aid smooth collaboration with foreign agencies.
This institutional backing, combined with the ED’s proactive role, allowed the India-US partnership to dismantle the Singh brothers’ massive darknet-driven drug syndicate.
A global model in the fight against money laundering
By incorporating this India-US success story into its handbook, FATF has recognised the evolving strategies needed to fight darknet-enabled drug trafficking and cryptocurrency-based money laundering. The acknowledgement positions the case as a model for future joint operations worldwide, showcasing how innovation in law enforcement cooperation can outpace even the most technically advanced criminal networks.