Parliament passed a Bill that seeks to prevent big economic offenders like Vijay Mallya and Nirav Modi from fleeing the country to evade the legal process.
The Fugitive Economic Offenders Bill, 2018 was passed by a voice vote in the Rajya Sabha on Wednesday.
The Lok Sabha had cleared the Bill on July 19.
Finance Minister Piyush Goyal said the instances of people running away and evading the legal process was increasing and this needed to be stopped, as the current laws do not allow fully dealing with the severity of the problem.
"Criminal law does not allow us to impound their property," he said.
"This Bill is an effective, expeditious and constitutional way to stop these offenders from running away.
Legislative changes or a new law must be in place to confiscate the assets of such absconders till they don't present themselves before the courts. We will also work out what has to be done with the confiscated assets," Goyal said.